Customs Code of Georgia

Law of Georgia

Customs Code of Georgia

Article 1. Scope and Subject of Regulation of the Customs Code of Georgia🔗

This Code, in accordance with the Constitution of Georgia, determines the rules and customs formalities related to the importation of goods into the customs territory of Georgia and their exportation from the customs territory of Georgia, the rules for the resolution of customs disputes, the types of customs offence and liability for the commission of these offences.

Article 2. Customs Legislation of Georgia🔗

1. The customs legislation of Georgia consists of the international treaties of Georgia related to customs formalities, this Code and the subordinate normative acts adopted or issued in accordance with it.

2. In the cases provided for by this Code, the Government of Georgia adopts, or the Minister of Finance of Georgia issues, a subordinate normative act.

3. An international treaty that has entered into force for Georgia has superior legal force in relation to this Code.

Article 3. Customs Territory of Georgia and Customs Border of Georgia🔗

1. The customs territory of Georgia consists of:

a) the land territory of Georgia;

b) the territorial waters of Georgia and the internal waters of Georgia;

c) the airspace of Georgia;

d) the territory of an installation, structure and artificial island located in the special maritime economic zone, to which the special jurisdiction of Georgia extends.

2. The customs border of Georgia coincides with the state border of Georgia.

Article 4. Language of Performance of Customs Formalities🔗

1. Customs formalities in the customs territory of Georgia shall be performed in the Georgian language, and in the Autonomous Republic of Abkhazia − also in the Abkhaz language.

2. A document drawn up in a foreign language may be submitted to the customs authority.

3. An authorised person of the customs authority shall be entitled to require a person to translate into the state language of Georgia a document drawn up in a foreign language submitted to the customs authority.

Article 5. Customs Authority of Georgia, Its Objectives and Rights and Obligations🔗

1. The customs authorities of Georgia are:

a) a Legal Entity of Public Law within the sphere of governance of the Ministry of Finance of Georgia – Revenue Service (hereinafter – Revenue Service);

b) the Customs Department of the Revenue Service.

2. The customs authority shall exercise customs supervision, customs control and customs formalities.

3. Within the scope of its competence, the customs authority:

a) for the purpose of supporting fair and free trade, shall supervise Georgia's international trade;

b) shall protect the financial interests of Georgia;

c) by supporting lawful economic activity, shall protect Georgia's economic space from unfair and illegal international trade;

d) shall ensure the security of the State of Georgia and of persons, as well as environmental protection, including, where necessary, through cooperation with other relevant state bodies;

e) shall carry out phytosanitary border-quarantine control, veterinary border-quarantine control and sanitary border-quarantine control;

f) when crossing the state border of Georgia, shall make the relevant marks in travel documents and, in cases determined by a joint order of the Minister of Finance of Georgia and the Minister of Internal Affairs of Georgia, shall reflect information in the automated database of the Ministry of Internal Affairs of Georgia;

g) shall issue a licence, permit and certificate;

h) shall be entitled, for the purpose of exercising the control provided for by the legislation of Georgia, to establish a customs laboratory;

i) shall ensure the implementation of protective measures in trade;

j) shall carry out other measures provided for by the legislation of Georgia.

4. The clearance of a means of transport moved across the customs border of Georgia in the form of goods may be carried out by the authorized service of the Ministry of Internal Affairs of Georgia in accordance with the procedure established by a joint order of the Minister of Finance of Georgia and the Minister of Internal Affairs of Georgia and within the scope of the powers delegated by them.

5. The procedure for the establishment and operation of the customs laboratory provided for by subparagraph „h“ of paragraph 3 of this Article shall be determined by a Resolution of the Government of Georgia.

Article 6. Definition of terms🔗

1. The terms used in this Code have the following meaning:

a) customs control – individual actions to be carried out by the customs authority in order to ensure compliance with the requirements of the customs legislation of Georgia, as well as other legal acts regulating the importation, transit, movement, storage, use for intended purpose and exportation of goods moved between the customs territory of Georgia and a foreign country, as well as the placement and movement of foreign goods and goods used for intended purpose in the customs territory of Georgia;

b) person:

b.a) natural person;

b.b) association of persons that independently participates in legal relations but does not have the status of a legal entity;

b.c) enterprise or organization;

c) person established in Georgia – a citizen of Georgia and/or a person registered in Georgia as a taxpayer;

d) customs formality – a mandatory action to be carried out by an interested person and/or the customs authority in order to comply with the customs legislation of Georgia;

e) general declaration – a document/action by which a person, in the established form and manner, within the established period, notifies the customs authority of the importation of goods into the customs territory of Georgia or the exportation of goods from the customs territory of Georgia;

f) temporary storage declaration – a document/action by which a person, in the established form and manner, declares that the goods are temporarily stored;

g) customs declaration – a document/action by which a person, in the established form and manner, declares that he/she intends to apply the relevant customs procedure to the goods, and in which, where necessary, he/she specifies an additional condition;

h) re-export declaration – a document/action by which a person, in the established form and manner, declares that he/she intends to export foreign goods (except foreign goods placed under the free zone procedure or temporarily stored) from the customs territory of Georgia;

i) re-export notification – a document/action by which a person, in the established form and manner, declares that he/she intends to export foreign goods placed under the free zone procedure or temporarily stored from the customs territory of Georgia;

j) declarant – a person who submits to the customs authority in his/her own name a customs declaration, a temporary storage declaration, a general declaration for the importation of goods, a general declaration for the exportation of goods, a re-export declaration or a re-export notification, or a person in whose name the relevant declaration or notification is submitted to the customs authority;

k) customs procedure – any procedure under which goods may be placed in accordance with this Code, namely:

k.a) release for free circulation;

k.b) special procedures;

k.c) export;

l) temporary storage – the status of foreign goods that are temporarily stored under customs supervision from their presentation to the customs authority until they are placed under a customs procedure/re-exported;

m) customs obligation − a person’s obligation to pay the import tax established by the Tax Code of Georgia;

n) obligated person − a person who, in accordance with the legislation of Georgia, is obliged to fulfil a customs obligation;

o) customs status − the status of Georgian goods or the status of foreign goods assigned to goods;

p) goods – any tangible property moved across the customs border of Georgia, including money, securities, electricity, thermal energy, gas, water;

q) Georgian goods:

q.a) goods wholly obtained in the customs territory of Georgia and not containing goods imported from a foreign country or not produced from goods imported from a foreign country;

q.b) goods imported from a foreign country/free zone and released into free circulation;

q.c) goods obtained or produced in the customs territory of Georgia from goods provided for by subparagraphs “q.a” and “q.b” of this paragraph or only by subparagraph “q.b”;

q.d) processed product which must be placed under the export procedure;

r) foreign goods − goods not provided for by subparagraph “q” of this paragraph, or goods which have lost the status of Georgian goods;

s) release of goods – granting the right to dispose of goods and/or the right to use goods in accordance with the conditions of the customs procedure/re-export applied to the goods;

t) customs supervision – a set of measures to be implemented by the customs authority, the purpose of which is the fulfilment of obligations established by the legislation of Georgia in respect of goods;

u) enterprise − an enterprise provided for by the Tax Code of Georgia;

v) organization − an organization provided for by the Tax Code of Georgia;

w) processed product – goods obtained as a result of the processing of goods placed under the inward processing procedure or the outward processing procedure;

x) presentation of goods − provision to the customs authority of information on the delivery of goods to the customs authority, to a place determined by the customs authority or to another place agreed with it (hereinafter – to the customs authority);

y) holder of goods − the owner of goods, a person having the right to dispose of goods, or a person under whose physical control the goods are;

z) holder of the procedure:

z.a) a person who presents a customs declaration or on whose instruction the declaration has been presented;

z.b) a person to whom the rights and obligations related to customs procedures have been transferred;

aa) processing operation of goods:

aa.a) processing of goods, including installation, assembly, adjustment to other goods;

aa.b) production of goods;

aa.c) destruction of goods;

aa.d) repair of goods, including its restoration and putting into working condition;

aa.e) use of goods which are not identifiable in the processed product but which contribute to or facilitate the production of the processed product, notwithstanding that these goods are wholly or partially consumed in the processing process;

bb) rate of yield – the quantity of processed products or the percentage of that quantity obtained as a result of the processing of a specified quantity of goods placed under the inward processing procedure or the outward processing procedure;

cc) decision – an action carried out by the customs authority on the basis of the customs legislation of Georgia and/or an issued individual administrative-legal act, which may entail legal consequences in respect of a person or interested persons;

dd) carrier:

dd.a) in the case of importation of goods – a person who imports the goods or who is responsible for the transportation of the goods to the customs territory of Georgia. At the same time:

dd.a.a) in the case of combined transportation, the carrier is the person who organizes the movement of the vehicle which, after entering the customs territory of Georgia, moves by its own power;

dd.a.b) in the case of maritime or air transportation, the carrier is the person who concludes a contract and issues a document for the transportation of goods to the customs territory of Georgia;

dd.b) in the case of exportation of goods – a person who exports the goods or who is responsible for the transportation of the goods from the customs territory of Georgia. At the same time:

dd.b.a) in the case of combined transportation, when a vehicle moving by its own power transports another vehicle and, after the arrival at the place of destination of the vehicle moving by its own power, the vehicle transported by it continues movement by its own power, the carrier shall be considered the person who drives the vehicle that continues movement by its own power, after the vehicle that left the customs territory of Georgia by its own power has arrived at the place of destination;

dd.b.b) in the case of maritime or air transportation, the carrier is the person who concludes a contract and issues a document for the transportation of goods from the customs territory of Georgia;

ee) buying commission – any remuneration paid or payable to the importer's representative when the importer buys goods to be valued;

ff) import charges – import tax, excise, value added tax provided for by the Tax Code of Georgia, the obligation to pay which arises in connection with the importation of goods into the customs territory of Georgia;

gg) baggage – an item to be transported separately from the passenger;

gg¹) warehouse of the customs authority – a customs control zone of the Revenue Service where goods are stored;

gg²) hand baggage – an item to be carried personally by the passenger;

gg³) economic clearance zone – a specially created customs control zone of the Revenue Service where goods are cleared;

gg⁴) passenger – a natural person who lawfully crosses the customs border of Georgia;

gg⁵) customs checkpoint – a customs control zone located at the customs border of Georgia, where the procedures established by this Code are carried out in respect of a passenger, goods and a vehicle;

gg⁶) granting decision – a decision adopted by the customs authority which confers any right or benefit on the interested party;

gg⁷) transit − the movement of goods and/or a means of transport between foreign countries or over the territory of a foreign country through the customs territory of Georgia;

gg⁸) means of transport – a motor, air, sea or rail means of transport, as well as a pipeline, power transmission line, container, trailer, semi-trailer or any other means used for the carriage of passengers and/or the transportation of goods;

gg⁹) customs route – the trajectory determined by the customs authority for the movement of goods and/or a means of transport subject to customs supervision within the customs territory of Georgia and/or the direction of transportation/carriage of such goods and/or means of transport to the place of destination (to the customs control zone or to a place determined by the customs authority or to any other place agreed with it).

2. A term (concept) that is not defined in this Code shall be used in this Code in the meaning it has in the relevant legislation of Georgia.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 7. Determination of Time Limits🔗

1. A time limit established by this Code shall be determined by a specific calendar date or by a period of time calculated in years, months, days and/or by reference to a circumstance that must necessarily occur.

2. The calculation of a time limit established by this Code shall begin from the day following the performance of the respective action. A day may be a working or a calendar day. Unless specified otherwise, a day is a calendar day. A working day coincides with a calendar day, except Saturday, Sunday and a public holiday defined by the Organic Law of Georgia "Labour Code of Georgia", unless otherwise provided by the customs legislation of Georgia.

3. A time limit calculated in years shall end on the corresponding month and date of the last year of the time limit.

4. A time limit calculated in months shall end on the corresponding date of the last month of the time limit.

5. An action for the performance of which a time limit is established may be performed until the end of the last working day of this time limit, and if such action is performed by bank transfer, postal item and/or electronic form, − until 24 hours of the last day of this time limit.

6. If the last day of the time limit for the performance of an action falls on a non-working day, the time limit for the performance of the action shall be extended until the end of the next working day, and if such action is performed by bank transfer, postal item and/or electronic form, it may be performed until 24 hours of the next working day.

7. A calendar year is a period of time from 1 January to 31 December inclusive.

8. A year (except a calendar year) is a period of time consisting of any continuous 12 months.

9. Unless otherwise provided by the legislation of Georgia, it shall be inadmissible to increase or reduce a period of time determined in accordance with this article, and to bring forward or postpone a time limit or a calendar date.

Article 8. Exchange rate of the national currency of Georgia against a foreign currency🔗

When determining the customs value of goods and the amount of import tax, a foreign currency shall be converted into the national currency of Georgia in the following sequence:

a) where, for the day of registration of the customs declaration/day of origin of the customs obligation, there is an official exchange rate of the GEL against the currency of this country determined by the National Bank of Georgia − at this rate;

b) where, for the day of registration of the customs declaration/day of origin of the customs obligation, there is no official exchange rate of the GEL against the currency of this country determined by the National Bank of Georgia − at the rate determined in accordance with the procedure established by the Board of the National Bank of Georgia.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 9. Exchange and Storage of Information🔗

1. The exchange of information between a person and the customs authority and the storage of this information shall be carried out using electronic means of data processing, except for the cases provided for by paragraph 2 of this Article.

2. In addition to electronic means of data processing, other means of exchange and storage of information may be used:

a) permanently, taking into account the type of carriage, or when the use of electronic means of data processing is not suitable for the relevant customs formality;

b) temporarily, in the event of a malfunction of the electronic system of the person or the customs authority.

3. A person carrying out international air carriage shall, in accordance with the rules determined by the Minister of Finance of Georgia, submit to the customs authority advance information on the means of transport carrying out international air carriage and on the goods and/or passengers to be transported by this means of transport.

4. For the purpose of identifying and responding to customs risk, on the basis of a written contract, an exchange of such information may be carried out between the customs authority and the declarant or another obligated person, the provision of which is not provided for by the customs legislation of Georgia. The exchange of the said information may include the customs authority's access to the declarant's data.

5. Within the framework of the relationship provided for by paragraph 4 of this Article, the information exchanged between the parties is a customs secret, unless the parties agree otherwise.

6. If, in the case provided for by paragraph 2 of this Article, the exchange of information is carried out in material (written) form, the sent document shall be signed by an authorized person. The addressee shall be given the original document or a certified copy thereof.

7. A port, railway station, or airport shall notify the customs authority of the entry/arrival or/and exit/departure of the means of transport crossing the customs border of Georgia.

8. Requirements related to information/data, the rules for public dissemination of information, other means of exchange and storage of information and the rules for its use shall be determined by an order of the Minister of Finance of Georgia.

Article 10. Submission and Delivery of a Document🔗

1. If the customs authority submits the same document to a person several times or in several forms provided for by Article 9 of this Code, the date of the first delivery of this document shall be considered the date of its submission.

2. If, upon submission of a material document, the person refuses to accept it, a corresponding notation shall be made on this document.

3. The customs authority shall have the right, upon submission of a material document, to use technical means for the purpose of recording the fact of refusal of its delivery. If the fact of submission of a material document is recorded by technical means, this document shall be considered delivered.

4. A material document shall be considered delivered if it has been delivered:

a) in person to the addressee;

b) to an authorized representative or legal representative of the person;

c) to the chancellery existing at the place of activity of the person or to a structural unit of the same designation;

d) in the case of a natural person − to any adult member of his family living with this person at his place of residence, and in the case of a legal person − to any adult person living in the residential apartment defined as the legal address of this person by the registration documents.

5. Delivery of a material document shall be confirmed by the signature of the recipient on its second copy or on the corresponding postal document. The name and surname of the recipient of the material document and his relationship to the addressee, as well as the date of delivery of this document, shall be noted there.

6. A document sent by the customs authority to a person by electronic means of data processing shall be considered delivered upon its review by the addressee.

7. The customs authority/body hearing a dispute shall have the right to publicly disseminate a document if the person (except a natural person) has not reviewed a document sent by the customs authority in electronic form within 30 days from its placement on the authorized user page of the taxpayer. If the person is a natural person, public dissemination of the document is possible if the following conditions are fulfilled:

a) the document was sent/submitted to the person at least twice in written form and its delivery to the addressee could not be effected;

b) the person is not an authorized user of the official website of the Revenue Service or the addressee has not reviewed the document within 30 days from its placement on the authorized user page.

8. Public dissemination of a document shall be effected by placing it on the official website of the Revenue Service. This document shall be considered delivered on the 20th day from its placement on this website.

9. If a person sends a material document to the customs authority by post, the date of sending this document shall be considered the date of its submission. At the same time, the time limit for responding to the said document shall be counted from the day following the day of actual delivery of the postal item to the customs authority.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 11. Customs Secret🔗

1. Information about a person held by the customs authority, except for information provided for by paragraph 1¹ of Article 39 of the Tax Code of Georgia, is a customs secret.

2. Information about a person that contains a customs secret may be transferred to another person in the cases provided for by Article 39 of the Tax Code of Georgia.

3. The customs authority and a third person who received information containing a customs secret on the basis of this article shall be obliged to maintain the confidentiality of this information.

4. Disclosure of information containing a customs secret entails liability in accordance with the legislation of Georgia.

5. Information containing a customs secret that exists in the customs authority has a special regime for storage and processing. Only authorized persons determined by the Minister of Finance of Georgia may be admitted to information containing a customs secret, in accordance with the procedure established by the Minister of Finance himself.

6. This article shall not apply to the public dissemination by the customs authority of a document provided for by paragraph 7 of Article 10 of this Code.

Law of Georgia No. 2767 of 5 April 2023 – website, 18.04.2023.

Article 12. Issuance of Information by the Customs Authority🔗

1. The customs authority is entitled, on the basis of a person's application, to issue information on the application of the customs legislation of Georgia.

2. The customs authority has the right not to issue the requested information if this request is not related to actual operations of international trade in goods.

3. The customs authority shall maintain means of permanent dialogue with persons involved in international trade, as well as ensure the availability of information on the customs legislation of Georgia/customs procedures and of the relevant declaration form required for carrying out customs formalities, without payment of the appropriate charge.

4. The head of the customs authority has the right to issue a guideline/instruction on the application by the customs authority of a norm of this Code. Compliance with this guideline/instruction shall be mandatory for the customs authority.

Article 13. Submission of a document and other information to the customs authority🔗

1. Any person who is directly or indirectly involved in the performance of customs formalities or who is subject to customs control shall, upon request by the customs authority, submit to it the requested document and/or other information, as well as provide assistance in the performance of the said customs formalities and customs control.

2. The submission by a person of a customs declaration, a temporary storage declaration, a general declaration for the importation of goods, a general declaration for the exportation of goods, a re-export declaration or a re-export notification, as well as the submission of an application for authorization or for another decision of the customs authority, gives rise to the obligation of the said person to:

a) reflect the information in the declaration, notification or application correctly and completely;

b) ensure that the document attached to the declaration, notification or application is authentic, correct and valid;

c) comply with the requirements related to placing goods under a customs procedure, the re-export of goods or the carrying out of authorized activities.

3. The requirements established by paragraph 2 of this Article shall also apply to any information requested by the customs authority and/or submitted to the customs authority.

4. The requirements established by paragraph 2 of this Article shall also apply to a customs representative.

Law of Georgia No. 2767 of 5 April 2023 – website, 18.04.2023.

Article 14. Customs representation🔗

1. A person has the right to interact with the customs authority through a legal representative or an authorized representative.

2. A person who, on the basis of Georgian legislation, exercises the relevant powers shall be considered the legal representative of a natural person. In this case, all obligations and liabilities of the natural person provided for by this Code shall be borne by his/her legal representative.

3. Except for a natural person, the authorized representative of another person shall act on the basis of a power of attorney issued by that other person.

4. The authorized representative of a natural person shall act on the basis of a power of attorney issued by this natural person and notarized.

5. A customs representative (hereinafter – representative) is a person who, on the instruction of another person, in the relations of this other person with the customs authority, performs the actions and customs formalities provided for by the customs legislation of Georgia.

6. A representative may be:

a) direct – when the representative acts in the name of and on the instruction of another person;

b) indirect – when the representative acts in his/her own name, but on the instruction of another person.

7. The representative shall be a person established in Georgia. This shall not be mandatory when carrying out representation related to the transit or temporary importation procedure.

8. When performing customs formalities, an indirect representative shall bear the same liability as would be borne by the person giving the relevant instruction.

Article 15. Authority of a Representative🔗

1. When dealing with the customs authority, a representative shall declare that he/she acts on the instruction of another person and indicate whether he/she is a direct or indirect representative. A person shall be considered to act in his/her own name if he/she does not declare that he/she acts as a representative, or declares that he/she acts as a representative but without the relevant authority.

2. The customs authority may require from a representative a document confirming his/her authority.

3. If the representative of one and the same person regularly carries out customs formalities related to this person, the customs authority shall not require from him/her a document confirming authority in each specific case. At the same time, upon the request of the customs authority, the representative shall be obliged to submit the said document to it.

4. The procedure and conditions for confirming the authority of a representative with the customs authority, as well as the list of documents to be submitted to confirm authority and the cases when confirmation of authority is not mandatory, shall be determined by Order of the Minister of Finance of Georgia.

Article 16. Decision made on the basis of an application🔗

1. A person or group of persons who submits an application to the customs authority for a decision relating to the application of the customs legislation of Georgia shall provide it with any requested information necessary for making that decision.

2. The customs authority shall, without delay, but no later than 30 days from receipt of the application, verify whether the conditions established for acceptance of the application are fulfilled and, if these conditions are fulfilled, shall within the same period notify the applicant of the acceptance of the application.

3. The customs authority shall make the decision provided for by paragraph 1 of this Article without delay, but no later than 120 days from acceptance of the application.

4. If the customs authority is unable to make a decision within the period established by paragraph 3 of this Article, it shall, before the expiry of that period, notify the applicant thereof and shall also indicate the relevant reason and a new period for making the decision, which shall not exceed 30 days, unless otherwise provided by the customs legislation of Georgia.

5. The customs authority may, taking into account paragraph 4 of this Article, at the request of the applicant, extend the period established for making the decision in order to correct the information submitted by the applicant. The applicant shall notify the customs authority of the details of the correction of this information and the period of time required for the correction.

6. The decision shall enter into force for the applicant from the day of its delivery to the applicant, unless otherwise provided by the customs legislation of Georgia or by the same decision. The implementation of the decision shall be binding on the customs authority from the date of its entry into force, except for the case provided for by paragraph 6 of Article 33 of this Code.

7. The decision shall remain in force indefinitely, unless otherwise provided by the customs legislation of Georgia.

8. If the decision, if made, may adversely affect the applicant, the customs authority shall, before making this decision, notify/communicate to the applicant its content and reasoning. In this case, the applicant shall be given the opportunity to submit relevant arguments within the period established by the customs authority. After the expiry of this period, the customs authority shall make the decision and shall notify the applicant thereof in the established manner.

9. Paragraph 8 of this Article shall not apply:

a) when issuing a preliminary decision provided for by paragraph 1 of Article 22 of this Code;

b) if this is required by the interests of protection of the State of Georgia and its population, human or animal health or plant health, the environment or consumer safety;

c) if the purpose of making the decision provided for by paragraph 8 of this Article is to facilitate the enforcement of another decision;

d) if damage may be caused to the interests of the investigation of a criminal case or the proceedings of a customs offence case;

e) in another special case.

10. A decision that adversely affects the applicant shall be reasoned and shall indicate the right to appeal in accordance with the procedure established by this Code.

Article 17. Application of a decision adopted on the basis of an application🔗

1. The holder of the decision shall fulfil the obligations determined by the decision.

2. The holder of the decision shall immediately notify the customs authority of any circumstance that arose after the adoption of the decision and that may affect its operation/performance and/or change its content.

3. In a special case, the customs authority may:

a) review the decision;

b) suspend a decision that cannot be amended, annulled or declared invalid.

4. The customs authority shall monitor the fulfilment by the holder of the decision of the obligations and conditions determined by the decision. If 3 years have not elapsed since the establishment of the holder of the decision, the customs authority shall carry out special supervision for 1 year from the adoption of the decision.

5. The procedures and time limits related to the receipt and consideration of an application submitted for the adoption of a decision, as well as the rules for monitoring the fulfilment of the decision, shall be determined by an order of the Minister of Finance of Georgia.

Article 18. Annulment of a binding decision🔗

1. The customs authority shall annul a binding decision if all of the following conditions are met:

a) the binding decision was adopted on the basis of incorrect or incomplete information;

b) the holder of the binding decision knew or should have known that the information submitted by it was incorrect or incomplete;

c) if correct and/or complete information had been submitted, this binding decision would not have been adopted.

2. The holder of the binding decision shall be sent a notification on the annulment of this decision.

3. The annulment of a binding decision shall be effective from the date of entry into force of this decision, unless otherwise provided by this decision in accordance with the legislation of Georgia.

Article 19. Amendment of a binding decision or its declaration invalid🔗

1. In addition to the cases provided for by Article 18 of this Code, a binding decision shall be revoked or amended:

a) if any condition necessary for the adoption of the binding decision was not fulfilled or is not fulfilled after the adoption of this decision;

b) on the basis of an application by the holder of the binding decision.

2. Unless otherwise provided by the customs legislation of Georgia, a binding decision adopted in respect of a group of persons may be revoked only in respect of the person who fails to fulfil the obligation arising from this decision.

3. The holder of the binding decision shall be notified of the declaration of invalidity of this decision or of its amendment.

4. Paragraph 6 of Article 16 of this Code shall apply to the declaration of invalidity of a binding decision or its amendment. At the same time, in exceptional cases, where the legitimate interests of the holder of the binding decision so require, the customs authority shall set a different period, not exceeding 1 year, for the entry into force of the declaration of invalidity of the binding decision or its amendment. This period shall be indicated in the decision on the declaration of invalidity of the binding decision or its amendment.

5. The procedures and time limits related to the annulment, declaration of invalidity or amendment of a binding decision shall be determined by an Order of the Minister of Finance of Georgia.

Article 20. Decision adopted without an application🔗

Paragraphs 6–10 of Article 16 and Articles 18 and 19 of this Code shall apply to a decision adopted by the customs authority without an application.

Article 21. Restriction of the effect of a binding decision in respect of goods placed under a customs procedure or in temporary storage🔗

Unless an interested person so requests, the declaration of invalidity of a binding decision, its amendment or its suspension shall not affect goods which, at the moment of entry into force of the declaration of invalidity of the binding decision, its amendment or its suspension, were and are placed under a customs procedure or in temporary storage on the basis of this decision.

Article 22. Advance decision🔗

1. The customs authority shall be entitled, on the basis of an application by an interested person, to issue an advance decision on the commodity code or an advance decision on the origin of goods. An application for the issuance of an advance decision by the customs authority shall not be accepted for processing if:

a) the application is submitted by the holder of the advance decision on the commodity code or on his/her behalf, in respect of the goods covered by that decision, or by the holder of the advance decision on the origin of goods or on his/her behalf, in respect of the goods covered by that decision, and it indicates the circumstances provided for by that decision that are necessary for determining the origin of the goods;

b) the application does not indicate for which customs procedure the said decision is to be used.

2. An advance decision on the commodity code or an advance decision on the origin of goods, in relation to commodity classification or determination of the origin of goods:

a) shall be binding on the customs authority only in respect of goods for which customs formalities are carried out after the entry into force of the said decision;

b) shall be binding on the holder of the advance decision for performance from the date of its delivery to him/her.

3. An advance decision on the commodity code or an advance decision on the origin of goods shall be valid for 3 years from its entry into force.

4. When carrying out individual customs procedures, in order to ensure the performance of an advance decision, the holder of the advance decision shall confirm that:

a) in the case of an advance decision on the commodity code, the declared goods fully correspond to the goods described in that decision;

b) in the case of an advance decision on the origin of goods, the goods under consideration and the circumstances of their origin fully correspond to the goods and circumstances described in that decision.

Article 23. Effect of an advance ruling🔗

1. An advance ruling on the commodity code shall cease to have effect before its expiry if:

a) the norm of the legislation of Georgia on the basis of which the said ruling was issued has been amended or repealed;

b) the national commodity nomenclature of foreign economic activity has been amended and that amendment concerns the goods covered by the said ruling.

2. An advance ruling provided for by paragraph 1 of this Article shall be annulled from the date of entry into force of the amendment provided for by the same paragraph.

3. An advance ruling on the origin of goods shall cease to have effect before its expiry if:

a) the norm of the legislation of Georgia on the basis of which the said ruling was issued has been amended or repealed;

b) it no longer complies with the World Trade Organization Agreement on Rules of Origin.

4. An advance ruling provided for by paragraph 3 of this Article shall cease to have effect from the date of entry into force of the amendment provided for by the same paragraph.

5. The declaration of an advance ruling on the commodity code or of an advance ruling on the origin of goods as invalid may not have retroactive effect.

6. Notwithstanding Article 18 of this Code, an advance ruling shall be declared void if it was issued on the basis of incorrect or incomplete information.

7. An advance ruling shall be declared invalid in accordance with Article 19 of this Code. At the same time, an advance ruling may not be declared invalid on the basis of an application by the holder of the advance ruling.

8. Amendment of an advance ruling shall be inadmissible.

9. The customs authority shall annul an advance ruling on the commodity code:

a) if, in accordance with a court judgment, it does not comply with the interpretation of the relevant norm of the national commodity nomenclature of foreign economic activity (hereinafter – the NCN FEA). In this case, the declaration of the advance ruling as invalid shall enter into force from the day of entry into force of the court judgment;

b) in another special case where it does not comply with the interpretation of the relevant norm of the NCN FEA.

10. The customs authority shall annul an advance ruling on the origin of goods:

a) if it does not comply with a court judgment. In this case, the declaration of the advance ruling as invalid shall enter into force from the day of entry into force of the court judgment;

b) in another special case determined by the Minister of Finance of Georgia.

11. In the event of early termination or declaration of invalidity of an advance decision, in accordance with paragraphs 3, 9 and 10 of this Article, the validity of this decision may be extended for the binding contract which is based on the said decision and which was concluded before its termination or before its declaration of invalidity. Such extension shall not apply to an advance decision on the origin of goods issued in respect of goods to be taken out of the customs territory of Georgia.

12. The extension provided for by paragraph 11 of this Article shall not exceed 6 months from the day of early termination or declaration of invalidity of the advance decision. For goods in respect of which, during the performance of customs formalities, a certificate relating to the importation or exportation of goods has been submitted, the 6-month period shall be replaced by the validity period of this certificate.

13. In order for the holder of an advance decision to benefit from the extension provided for by paragraph 11 of this Article, he/she shall, within 30 days from the early termination or declaration of invalidity of the said decision, apply to the customs authority with an application. This application shall contain information on the quantity of goods for which the extension of the period is requested. The customs authority shall be entitled to take a decision on the extension of the period and to notify the holder of the advance decision thereof without delay, but no later than 30 days from the submission of all information necessary for taking the decision.

14. The procedures and rules relating to the issuance of an advance decision and the revocation of an advance decision shall be determined by an Order of the Minister of Finance of Georgia.

Article 24. Advance decision on other factors🔗

Except for an advance decision on the commodity code and an advance decision on the origin of goods, the Minister of Finance of Georgia shall be entitled to determine the cases of issuance by the customs authority of an advance decision on other factors.

Article 25. Authorised Economic Operator🔗

1. A person established in Georgia that meets the criteria provided for by Article 26 of this Code has the right to apply to the customs authority with an application for the granting of the status of an authorised economic operator. If necessary, after consultation with other competent authorities, the customs authority shall grant the applicant the status of an authorised economic operator.

2. The status of an authorised economic operator includes two types of authorisation:

a) authorisation for customs simplifications, which, in accordance with the customs legislation of Georgia, enables its holder to benefit from certain simplified customs formalities;

b) authorisation for security and safety, which gives its holder the right to benefit from certain advantages related to security and safety.

3. A person has the right to hold both types of authorisation simultaneously.

4. If the status of an authorised economic operator related to customs simplification is recognised and the requirements established by the customs legislation of Georgia related to a specific type of customs simplification have been fulfilled, the customs authority shall grant the person the right to benefit from this simplification. The customs authority shall not re-verify the criteria that were verified at the time of granting the status of an authorised economic operator.

5. An authorised economic operator provided for by paragraph 2 of this article shall, in accordance with the type of authorisation, benefit from simplified customs control measures, including fewer physical and documentary controls.

6. The customs authority shall grant the privileges related to the status of an authorised economic operator to a person established in a foreign country if that person fulfils those obligations and conditions provided for by the relevant legislation of the said country which are recognised by Georgia as equivalent to the obligations and conditions established for an authorised economic operator in Georgia. The granting of the said privileges shall be based on the principle of reciprocity provided for by an international treaty of Georgia, unless otherwise provided by Georgian legislation.

7. Simplified customs formalities for an authorised economic operator, advantages related to security and safety, and simplified customs control measures shall be determined by an Order of the Minister of Finance of Georgia.

Article 26. Criteria for granting the status of authorized economic operator🔗

1. The criteria for granting the status of authorized economic operator are:

a) absence of significant violation of the customs, tax and administrative legislation of Georgia, as well as absence of a criminal offence related to the applicant's economic activity;

b) existence of a high level of control over the operations and goods flows carried out by the applicant, which is achieved through a commercial management system and, where appropriate, transport records, and which ensures proper customs control;

c) solvency and financial stability. This criterion may be considered confirmed if the applicant has a good financial standing which enables it to fulfil the obligations related to its economic activity;

d) in the case of authorization provided for by subparagraph „a“ of paragraph 2 of Article 25 of this Code − practical standard of competence or professional qualification directly related to the activity carried out;

e) in the case of authorization provided for by subparagraph „b“ of paragraph 2 of Article 25 of this Code − proper standard of security and safety. This requirement shall be considered fulfilled if the applicant confirms that it takes appropriate measures to ensure the security and safety of the international supply chain, including in areas such as the integrity of and access to goods, logistics processes and handling of specific goods, personnel and identification of business partners.

2. Simplified customs formalities related to holding the status of authorized economic operator and/or security and safety benefits shall not apply to goods for which special conditions of customs control are established by the legislation of Georgia.

3. The conditions for granting the status of authorized economic operator, the rules for enjoying the relevant type of authorization, as well as the cases to which the simplified customs formalities related to holding the status of authorized economic operator and/or security and safety benefits do not apply, shall be determined by Order of the Minister of Finance of Georgia.

Article 27. Customs control and risk management🔗

1. The customs authority is entitled to carry out customs control in any form, including:

a) to check a declaration, document, data and other information submitted to it in any form;

b) to conduct an oral questioning, to receive an explanation, to carry out observation (video and audio recording);

c) to inspect goods, a means of transport, buildings and territory;

d) to take a sample or/and specimen of goods for the purpose of laboratory examination;

e) to inspect a natural person;

f) to mark goods or/and a means of transport by using a means of identification;

g) to carry out a controlled delivery;

h) to carry out post-release control of goods;

i) to carry out customs control in another form determined by order of the Minister of Finance of Georgia.

2. Customs control, except for checking by the method of random selection, is based on the use of means of automated data processing for the purpose of identifying, assessing and taking preventive measures on the basis of risk criteria developed at national and international levels.

3. Within the framework of risk management, the customs authority establishes different levels of risk related to goods subject to customs control or customs supervision, as well as whether or not the goods are subject to special customs control, and, if the goods are subject to the said control, determines the place of carrying out customs control.

4. Risk is the probability of the occurrence of an event related to the importation of goods into the customs territory of Georgia, transit, movement, use for the intended purpose or exportation from the customs territory of Georgia or/and to foreign goods existing in the customs territory of Georgia, which:

a) impedes the proper application of a measure provided for by the customs legislation of Georgia;

b) damages the financial interest of the State of Georgia;

c) poses a threat to the security of the State of Georgia and its population, to human or animal health or plant health, to the environment or to the consumer.

5. Risk management is the systematic identification of risks, including by checking by the method of random selection, for the purpose of implementing the measures necessary to reduce the impact of risk. Risk management includes the collection of data and information, risk analysis and assessment, determination of acceptable measures and their adoption, regular monitoring of these processes and their results and their review.

6. If goods, in addition to customs control, are also subject to another type of control provided for by the legislation of Georgia, which is carried out by another competent authority in addition to the customs authority, the customs authority, within the framework of close cooperation with this competent authority (if possible, together with customs control (by the one-stop-shop principle)), carries out this type of control.

6¹. For the purpose of preventing, detecting and suppressing the unlawful transportation of a narcotic drug or its analogue, a precursor, a new psychoactive substance, a psychotropic substance or its analogue into the customs territory of Georgia, as well as for the prevention, detection and suppression of other crimes falling within the investigative jurisdiction of the Ministry of Internal Affairs of Georgia, within the framework of the cooperation/coordinated activity of the customs authority and the Ministry of Internal Affairs of Georgia, a Joint Centre for the Facilitation of the Prevention, Detection and Suppression of the Unlawful Circulation of Narcotic Drugs and joint working groups shall be established, which shall exercise customs control in the form determined by subparagraph „c“ and/or subparagraph „e“ of paragraph 1 of this Article, in accordance with the procedure established by a joint order of the Minister of Finance of Georgia and the Minister of Internal Affairs of Georgia.

6². The rules of activity of the Joint Centre for the Facilitation of the Prevention, Detection and Suppression of the Unlawful Circulation of Narcotic Drugs and of the joint working groups shall be determined by a joint order of the Minister of Finance of Georgia and the Minister of Internal Affairs of Georgia.

7. The procedure for exercising differentiated customs control in respect of the officials determined by the Constitution of Georgia or the persons determined by a resolution of the Government of Georgia shall be determined by an order of the Minister of Finance of Georgia.

Law of Georgia of 17 December 2025 No. 1325 – website, 22.12.2025.

Article 28. Controlled delivery🔗

1. In order to suppress the circulation of goods imported bypassing customs control and to identify the persons participating in this circulation, the customs authority shall, in each specific case, on the basis of an international treaty of Georgia, at the request of a customs authority and/or another competent authority of a foreign country or at the request of the customs authority of Georgia and/or a law enforcement authority, use the form of controlled delivery, which implies the importation into Georgia, exportation from Georgia or transit through its territory, under the control of the customs authority, of the above-mentioned goods involved in unlawful circulation.

2. A decision on the use of the form of controlled delivery in respect of the goods provided for by paragraph 1 of this Article shall be taken by the customs authority in agreement with the relevant law enforcement authority.

3. The procedure for carrying out a controlled delivery shall be determined by a joint order of the Minister of Finance of Georgia and the Minister of Internal Affairs of Georgia.

Article 29. Customs Control Zone🔗

1. The customs control zone is a specially designated place where customs control measures are carried out in respect of goods and/or means of transport and persons.

2. The customs control zones are:

a) customs checkpoint;

b) warehouse of the customs authority;

c) clearance economic zone;

d) customs warehouse;

e) free trade point;

f) territory determined by the customs authority and located at an airport, sea port, harbour, railway station open for international traffic;

g) the track section of a railway station located in the customs territory of Georgia − during the placement of goods subject to customs control on this track section;

h) other storage place, structure, means of transport where goods and/or means of transport subject to customs supervision are located;

i) other place determined by the customs authority for the performance of customs formalities in accordance with the procedure established by order of the Minister of Finance of Georgia.

3. In the customs control zone, without the consent of the customs authority, it is prohibited to carry out economic activity, to move goods and/or means of transport and persons, to load/unload means of transport, and to remove goods outside the boundaries of the customs control zone before the performance of necessary customs formalities.

4. The right of ownership to goods subject to customs supervision located in the customs control zone may be transferred to another person in accordance with the procedure and conditions established by order of the Minister of Finance of Georgia.

5. The procedure for entry into and movement within the customs control zone of an airport, harbour, railway station and for leaving this zone shall be determined by a joint order of the Minister of Finance of Georgia and the Minister of Internal Affairs of Georgia.

Article 30. Post-release control of goods🔗

1. Post-release control of goods shall be conducted on the basis of a decision of the customs authority.

2. When conducting post-release control of goods, the customs authority may verify:

a) the accuracy of the data declared by a customs declaration, a temporary storage declaration, a general declaration on the import of goods, a general declaration on the export of goods, a re-export declaration or a re-export notification, as well as the existence, accuracy, authenticity and validity of its accompanying documents;

b) the declarant's accounting and other records which are related to the goods under inspection or to operations related thereto before or after the release of these goods.

3. When conducting post-release control of goods, the customs authority shall have the right to inspect the goods and/or take a sample and/or specimen thereof, if inspection of the goods and/or taking a sample and/or specimen thereof is possible.

4. Post-release control of goods may be conducted in the premises of the owner of the goods or his/her representative, or of any person directly or indirectly involved in an operation related to the goods, as well as in the premises of any other person who holds documentation and data related to the said operation.

5. Post-release control of goods shall be conducted only by the customs authority. Other controlling authorities and law enforcement authorities shall be prohibited from conducting post-release control of goods.

6. When conducting post-release control of goods, the customs authority shall be authorized to determine the amount of import duty/customs sanction on the basis of information available to this authority, if the person does not submit the requested information to it.

7. Post-release control of goods may continue for no more than 3 months. If necessary, in agreement with the head of the customs authority, the inspection period may be additionally extended by no more than 2 months.

8. The results of post-release control of goods shall be reflected in the inspection report, on the basis of which the relevant decision is adopted.

9. If, as a result of post-release control of goods, it is revealed that there is a need to assess import duty and/or impose a customs sanction on a person, the customs authority shall adopt a decision on assessing import duty and/or imposing a customs sanction on the person.

10. In the case provided for by paragraph 9 of this Article, the inspection report and the decision adopted on its basis shall be submitted to the person together with the tax claim provided for by Article 64 of the Tax Code of Georgia (hereinafter – tax claim).

11. The limitation period for assessing import duty and submitting the corresponding tax claim on the basis of the inspection report is 3 years. This period shall not apply in the case provided for by paragraph 3 of Article 141 of this Code.

12. The period established by paragraph 11 of this Article shall be counted from the end of the calendar year corresponding to the emergence of the obligation to pay import duty.

13. In the event of detection of an administrative offence, the authorised person of the customs authority shall draw up a protocol of the administrative offence.

14. Re-inspection of a matter already inspected without a judge's order is prohibited.

15. The procedure for the implementation of post-release control of goods shall be determined by an Order of the Minister of Finance of Georgia.

Article 31. Limitation period for the storage of documents and other information🔗

1. For the purposes of customs control, a person shall be obliged to store the documents and other information provided for by paragraph 1 of Article 13 of this Code for not less than 3 years, in any form acceptable and accessible to the customs authority.

2. For goods released for free circulation (except for the case provided for by paragraph 3 of this Article) or for goods declared under the export procedure, the period established by paragraph 1 of this Article shall be counted from the end of the year of registration of the customs declaration for release of the goods for free circulation or of the placing of the goods under the export procedure.

3. For goods released for free circulation for the intended purpose, the period established by paragraph 1 of this Article shall be counted from the end of the year in which customs supervision over such goods is completed.

4. For goods placed under a customs procedure other than release for free circulation or under re-export, or goods in temporary storage, the period established by paragraph 1 of this Article shall be counted from the end of the year in which the said customs procedure, re-export or temporary storage is completed.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 32. Service Fees🔗

1. A person shall not be obliged to pay a fee to the customs authority for the exercise of customs control by that authority during the working hours established by the legislation of Georgia.

2. An obligation may be imposed on a person to pay a service fee or to reimburse expenses incurred when a service is provided by the customs authority, namely, in the case where:

a) the customs authority established by the legislation of Georgia, at the request of an interested person, carries out customs control during non-working time, outside a customs checkpoint, the place of customs clearance of goods, or the place of performance of customs formalities falling within the competence of the customs authority;

b) for the issuance of a preliminary decision or for the provision by the customs authority of information on the application of the customs legislation of Georgia provided for by paragraph 1 of Article 12 of this Code, it became necessary to conduct an examination/expertise of the goods submitted by the relevant person to the customs authority and to provide postal services for the return of these goods to the declarant;

c) an examination/expertise of goods is carried out for the purpose of verifying a customs declaration or the destruction of goods, if other expenses have been incurred, except for expenses related to activities falling within the competence of the customs authority;

d) depending on the type of goods or the potential risk, special control measures are carried out;

e) when customs formalities are performed by the customs authority, other types of services determined by a resolution of the Government of Georgia shall be provided.

3. The rate of the service fee and the payment procedure shall be determined by a resolution of the Government of Georgia.

Article 33. Customs dispute proceedings🔗

1. A decision adopted by the customs authority on the basis of this Code may be appealed in the system of the Ministry of Finance of Georgia or in court.

2. In the system of the Ministry of Finance of Georgia, a customs dispute (hereinafter – dispute) shall be considered in accordance with the Tax Code of Georgia, by the procedure established for the consideration of a tax dispute, unless otherwise provided by this Code.

3. At any stage of the consideration of a dispute in the system of the Ministry of Finance of Georgia, the complainant shall have the right to apply to court.

4. The procedure for conducting a dispute in court shall be determined by the administrative procedural legislation of Georgia.

5. An appeal against a decision of the customs authority shall not suspend its operation, except in the cases provided for by paragraphs 6 and 7 of this Article.

6. The customs authority/the body considering the dispute shall fully or partially suspend the enforcement of the appealed decision if there is a reasonable assumption that this decision contradicts the customs legislation of Georgia or that its enforcement will cause irreparable damage to the respective person.

7. An appealed decision that gives rise to an obligation to pay import duty/customs sanction shall be deemed suspended from the day of initiation of the dispute until its completion, only in the part of payment of the import duty/customs sanction.

8. In the case provided for by paragraph 7 of this Article, the measures for securing the disputed tax arrears provided for by Article 254 of the Tax Code of Georgia shall be applied in the cases and in the manner established by the same Article.

9. During the dispute, the limitation period established by this Code shall be suspended.

10. When the customs authority enforces a decision of a court/the body considering the dispute, the limitation period established by this Code shall not apply.

Article 34. Trade defence measure🔗

A trade defence measure is a measure introduced in accordance with the principles and norms of the World Trade Organization and the legislation of Georgia.

Article 35. Identification and classification of goods🔗

1. Identification and classification of goods shall be carried out on the basis of the SES ESN, which is established by order of the Minister of Finance of Georgia.

2. The SES ESN is a system of commodity classification codes that corresponds to the nomenclature of the International Convention on the Harmonized Commodity Description and Coding System and is detailed by eleven digits, taking into account the specifics of the national economy.

3. When declaring goods, the commodity code shall be determined by the declarant in accordance with the SES ESN.

4. The customs authority shall control the correctness of the commodity code determined by the declarant.

Article 36. Origin of goods🔗

1. The origin of goods shall be determined upon the importation of goods into the customs territory of Georgia and/or upon the exportation of goods from the customs territory of Georgia for the purpose of implementing trade defence measures.

2. The origin of goods may be non-preferential or preferential.

3. The non-preferential origin of goods shall be applied:

a) for the purpose of import duty, except where a benefit provided for by an international treaty of Georgia is enjoyed;

b) for the implementation of non-tariff measures regulating foreign trade, as established by other legal acts.

4. Goods shall be granted non-preferential origin and shall be considered as originating in the country where:

a) these goods are wholly obtained;

b) these goods underwent the last substantial transformation, where more than one country participated in their production.

5. The criteria and rules for determining the preferential origin of goods, as well as the form of the document confirming the preferential origin of goods and the rules for completing it, shall be determined by the relevant international treaty of Georgia.

6. If the customs declaration/re-export declaration indicates information on the country of origin of goods, the customs authority may require the declarant to confirm the origin of the goods.

7. If confirmation of the origin of goods is required by the legislation of Georgia, in the presence of reasonable doubt the customs authority may require additional evidence in order to be satisfied that the information on the origin of goods is indicated in accordance with the relevant rules for determining the origin of goods.

8. The procedures and rules for issuing a document confirming the origin of goods having the status of origin in Georgia, as well as for confirming their origin, shall be determined by a Resolution of the Government of Georgia.

Law of Georgia of 5 April 2023 No. 2767 – website, 18 April 2023.

Article 37. General Provisions for Determining the Customs Value of Goods🔗

1. The customs value of goods shall be determined in accordance with the rules established by this Code and the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade 1994.

2. When declaring goods, the customs value of the goods shall be determined by the declarant, and the customs authority shall control the correctness of the customs value of the goods determined by the declarant.

3. The fact that the goods are the subject of a sale and are declared for release into free circulation is sufficient for these goods to be considered as sold for export to Georgia. If, after the sale of the goods for export to Georgia, a resale of these goods was carried out (including in a customs warehouse), the price of their sale for export to Georgia shall be used to determine the customs value of the goods.

4. For the purposes of this Chapter, persons shall be considered related persons if:

a) they manage each other’s business (are persons with the authority to manage a business entity);

b) they are legally recognized business partners (persons connected by a business interest);

c) they are an employer and an employee;

d) a third person directly or indirectly owns or controls 5 percent or more of the voting shares of both persons, or a third person holds 5 percent or more of the said shares;

e) one person directly or indirectly controls the other person;

f) they are directly or indirectly controlled by a third person;

g) they together, directly or indirectly, control a third person;

h) they are members of the same family.

5. For the purposes of this Chapter, persons connected by a business relationship, one of whom is the exclusive agent, distributor or concessionaire of the other, shall be considered related persons only if they meet the criteria provided for by paragraph 4 of this Article.

6. The customs value of imported goods shall be determined by the following methods:

a) by the transaction value (first method);

b) by the transaction value of identical goods (second method);

c) by the transaction value of similar goods (third method);

d) by the unit price of the goods (fourth method);

e) by the computed value (fifth method);

f) by the fallback method (sixth method).

7. Each subsequent method of determining the customs value of goods provided for by paragraph 6 of this Article shall be applied if the use of the previous method cannot be justified. The declarant shall have the right to change the order of application of the methods of determining the customs value of goods provided for by subparagraphs “d” and “e” of paragraph 6 of this Article.

8. After the sale of goods for export to Georgia, before placing them under the procedure of release into free circulation, the use of these goods in a third country may become grounds for refusing to determine the customs value of the goods by the transaction value.

9. For the purpose of determining the customs value of goods, the price actually paid or/and payable is the total amount that the buyer has paid or/and must pay to the seller or/and must be paid in favour of the seller. The said price includes all payments, both direct and indirect, which are conditions of the sale of the goods.

10. The amount of indirect tax paid in the country of origin of the goods or in the country of export of the goods shall not be included in the customs value of the goods.

11. If, at the time of determining the customs value of the goods:

a) the price of the goods has not been actually or fully paid, the fully payable price shall be used as the basis for determining its customs value;

b) the final payable price of the goods is higher than the price actually paid or/and payable, the final payable price shall be used as the basis for determining its customs value;

c) the final payable price of the goods is lower than the price actually paid or/and payable, the final payable price may, on the basis of a declaration by the declarant, be used as the basis for determining its customs value, if this is an obligation determined by the initial contract.

12. If the declared goods are part of a consignment of goods acquired in a single transaction, the transaction price of the goods shall be applied in the same proportion to the price of the entire consignment of goods as the quantity of the declared goods relates to the quantity of the entire consignment of goods. The price actually paid or payable shall also be distributed proportionally in the case where part of the cargo has been lost.

13. When determining the customs value of goods, the provisions of this Chapter shall also apply in the case of the application of another customs procedure to the goods before their release into free circulation or a change in the purpose of use of the goods.

Article 38. Transaction value method🔗

1. This Article shall be considered together with Article 44 of this Code, which provides for the adjustment of the price actually paid or payable for the goods where the buyer bears the payment of certain elements which form part of the customs value but are not included in the price actually paid or payable for the goods.

2. The customs value of goods is determined by the transaction value, that is, the price actually paid or payable for the goods sold for export to Georgia, taking into account the requirements established by Article 44 of this Code, if all of the following conditions are met:

a) there is no restriction connected with the buyer's disposal or use of the goods, except for a restriction which:

a.a) is established or required by the legislation of Georgia;

a.b) establishes the list of geographical areas in which the resale of the goods is permitted;

a.c) does not affect the value of the goods;

b) the sale of the goods or the price is not connected with any condition or circumstance in respect of which an assessment (determination of value) in relation to the value of the goods is impossible. If such a condition or circumstance can be assessed (its value determined), that value is considered an indirect payment made by the buyer and, accordingly, part of the price actually paid or payable;

c) no part of the proceeds from the buyer's subsequent resale, disposal or use of the goods is transferred, either directly or indirectly, to the seller, except where an appropriate adjustment can be made in accordance with Article 44 of this Code;

d) the price actually paid or payable is calculated on the basis of objective and substantiated data;

e) the buyer and the seller are not related persons. If the buyer and the seller are related persons, the possibility of applying the transaction value method for determining the customs value of the goods is established taking into account paragraphs 3 and 6 of this Article.

3. The mere circumstance that the buyer and the seller are related persons may not become a ground for refusing to apply the transaction value method when determining the customs value of the goods. In this case, all the circumstances of the sale of the goods are examined and the transaction value is applied if the relationship of the said persons did not influence the transaction price of the goods.

4. If, on the basis of information submitted by the declarant or obtained in another manner, the customs authority has reasonable doubts that the relationship between the buyer and the seller influenced the transaction price of the goods, the customs authority shall communicate its reasoned opinions to the declarant (in writing, at the declarant's request). The declarant has the right to submit an appropriate explanation in relation to the said opinions.

5. If the buyer and the seller are related persons, the customs value of the goods shall be determined by the transaction value method, if the declarant submits to the customs authority evidence that the said value is as close as possible to one of the following values determined in the same period of time:

a) to the transaction price of imported identical or similar goods which the seller sold to an unrelated person (buyer);

b) to the customs value of identical or similar goods determined in accordance with Article 41 of this Code;

c) to the customs value of identical or similar goods determined in accordance with Article 42 of this Code.

6. The rule established by paragraph 5 of this Article shall be applied at the declarant's request, only for comparison. At the same time, account shall be taken of differences between commercial and quantitative levels, in the elements provided for by Article 44 of this Code and in the expenses incurred as a result of the seller's sale of goods where the buyer and the seller are not related persons.

Article 39. Method of Transaction Value of Identical Goods🔗

1. If it is impossible to determine the customs value of imported goods by the transaction value method, the customs value of the goods shall be considered the transaction value of such imported identical goods as were sold for export to Georgia and exported at the same or approximately the same time as the export of the goods being valued was effected.

2. For the purposes of this Article, the export of identical goods at the same or approximately the same time means that the difference between the date of export of the identical goods and the date of export of the goods being valued does not exceed 30 days (the goods being valued were exported 30 days before the export of the identical goods or 30 days after their export).

3. For the purpose of determining the customs value of goods, goods shall be considered identical goods if these goods and the goods being valued are the same in terms of physical characteristics, quality, reputation and country of origin. Goods shall be considered identical goods notwithstanding that there are insignificant external differences between these goods and the goods being valued, if in other indicators it corresponds to the above definition.

4. Goods shall not be considered identical goods if their engineering, development, artistic design, drawings and sketches are made in Georgia.

5. In applying this Article, the transaction price of goods produced by another person shall be taken into account if no data are available on the transaction price of identical goods produced by the same person (manufacturer).

6. In accordance with paragraph 1 of this Article, the basis for determining the customs value of goods is:

a) the transaction price of imported identical goods registered by the customs authority, which were sold for export to Georgia at the same commercial and quantitative levels at which the goods being valued were sold (meaning the volume and price of the consignment);

b) in the absence of the condition provided for by subparagraph "a" of this paragraph – the transaction price of imported identical goods registered by the customs authority, which were sold at a different commercial level and/or in a different quantity, if the customs value of the said goods is adjusted to take into account differences due to commercial level and/or quantity. Such adjustment may be made on the basis of evidence submitted to the customs authority confirming the appropriateness and accuracy of the adjustment, regardless of whether the adjustment increases or decreases the customs value of the goods.

7. In order to take into account the difference in the expenses provided for by paragraph 6 of Article 44 of this Code, caused by the difference in the means of transport for the shipment of the goods being valued and the imported identical goods and in the distances of shipment, the customs value of the goods shall be adjusted.

8. For the purposes of this Article, the customs value of imported identical goods, adjusted in accordance with paragraphs 6 and 7 of this Article, shall be determined only by the transaction value method.

9. If more than one transaction price of imported identical goods is identified, the lowest price shall be used for determining the customs value of the goods to be valued.

Article 40. Method of transaction value of similar goods🔗

1. If it is impossible to determine the customs value of imported goods by the transaction value method or by the transaction value method of identical goods, the customs value of the goods shall be considered the transaction value of similar goods that were sold for export to Georgia and were exported at the same or approximately the same time as the export of the goods being valued was carried out.

2. For the purposes of this Article, exported at the same or approximately the same time means that the difference between the date of export of the similar goods and the date of export of the goods being valued does not exceed 30 days (30 days before export or 30 days after export).

3. For the purposes of determining the customs value of goods, goods that are not exactly the goods being valued shall be considered similar goods, and, at the same time, the similar goods and the goods being valued have the same country of origin, similar physical characteristics and component materials, on the basis of which the similar goods are able to perform the same functions as those performed by the goods being valued, and to be commercially interchangeable.

4. Goods whose engineering, development, artistic design, drawings and sketches are made in Georgia shall not be considered similar goods.

5. When applying this Article, the transaction value of goods produced by another person shall be taken into account if data on the transaction value of similar goods produced by the same person (manufacturer) is not available.

6. In accordance with paragraph 1 of this Article, the basis for determining the customs value of imported goods shall be:

a) the transaction value of imported similar goods registered by the customs authority, which were sold in Georgia at the same commercial and quantitative levels at which the goods being valued were sold (meaning the volume and price of the consignment);

b) in the absence of the condition provided for by subparagraph „a“ of this paragraph – the transaction value of imported similar goods registered by the customs authority, which were sold at a different commercial level and/or in different quantities, if the customs value of the said goods is adjusted taking into account differences caused by the commercial level and/or quantity. Such adjustment may be made on the basis of evidence submitted to the customs authority confirming the appropriateness and accuracy of the adjustment, regardless of whether the adjustment increases or decreases the customs value of the goods.

7. When determining the customs value of goods, in order to take into account the difference in the costs provided for by paragraph 6 of Article 44 of this Code, caused by the difference in the means of transport and transportation distances for the goods being valued and the imported similar goods, an adjustment of the customs value of the goods shall be made.

8. For the purposes of this Article, the customs value of imported similar goods, adjusted in accordance with paragraphs 6 and 7 of this Article, shall be determined only by the transaction value method.

9. If more than one transaction price for imported similar goods is identified, the lowest price shall be used to determine the customs value of the goods to be valued.

Article 41. Method of the unit price of goods🔗

1. For the purposes of this Article:

a) Identical goods are goods that meet the requirements established by paragraphs 3 and 4 of Article 39 of this Code;

b) Similar goods are goods that meet the requirements established by paragraphs 3 and 4 of Article 40 of this Code;

c) Goods of the same class or kind are goods that are homogeneous with the goods being valued in terms of basic physical characteristics, and at the same time, their characteristics are as close as possible to the characteristics of the goods being valued, and they belong to a narrow group, range and nomenclature of the type of goods. Goods that are imported into Georgia from the country of export of the goods being valued or from another country may be considered goods of the same class or kind.

2. If the goods being valued, identical or similar goods are sold in Georgia in the same commercial form as that in which they were imported into Georgia (in unchanged condition), the customs value of the goods being valued shall be determined by the unit price of the goods at which identical or similar goods were sold at the same or almost the same time as the goods being valued were imported, in the greatest aggregate quantity to an unrelated person, at the first commercial level, taking into account the following deductions:

a) commissions that are usually paid or agreed in advance to be paid, or mark-ups that are usually made for the purpose of making a profit and covering the expenses related to the sale in Georgia of goods of the same class or kind;

b) ordinary transport and insurance costs incurred in Georgia and costs related thereto;

c) taxes and other charges provided for by the legislation of Georgia that are related to the import or sale of the goods.

3. If the goods being valued, identical or similar goods are not sold in Georgia at the same or almost the same time as the goods being valued were imported into Georgia, the customs value of the goods being valued, taking into account paragraph 2 of this Article, shall be determined by the unit price of the goods at which the goods being valued, identical or similar goods are sold after the importation of the goods being valued, within the nearest period, but not later than 90 days, in the same commercial form as that in which they were imported into Georgia (in unchanged condition).

4. If the goods being valued, identical or similar goods are not sold in Georgia in the same commercial form as that in which they were imported into Georgia (in unchanged condition), at the request of the declarant, the customs value of the goods being valued shall be determined by the unit price of the goods at which the goods being valued were sold in Georgia after processing in the greatest aggregate quantity to an unrelated person. At the same time, the value added created during its processing shall be deducted from the price of the goods being valued, and the deductions provided for by paragraph 2 of this Article shall be made.

Article 42. Computed Value Method🔗

1. The computed value shall be considered the customs value of the goods, which consists of the following elements:

a) the cost of manufacture and/or processing of materials used for the production of the goods;

b) the amount of profit received and general expenses incurred by the producer in the exporting country when goods of the same class or type are sold for export to Georgia;

c) the expenses provided for by paragraph 6 of Article 44 of this Code.

2. The cost of manufacture and/or processing of materials used for the production of the goods provided for by subparagraph "a" of paragraph 1 of this Article shall include:

a) the expenses provided for by subparagraphs "b" and "c" of paragraph 1 of Article 44 of this Code;

b) the proportionally allocated value of any goods or services that are provided for by paragraph 2 of Article 44 of this Code and that the buyer directly or indirectly supplied to the seller in connection with the production of the imported goods and their sale for export to Georgia. The value of elements produced in Georgia provided for by subparagraph "c" of paragraph 2 of Article 44 of this Code shall be included in the customs value only if the corresponding expense for these elements was incurred by the producer. When calculating the value, the price or value of the elements specified in this paragraph shall not be taken into account twice.

3. The general expenses provided for by subparagraph "b" of paragraph 1 of this Article include the direct and indirect expenses incurred for the production and sale of the exported goods that are not provided for by subparagraph "a" of paragraph 1 of this Article.

Article 43. Reserve Method🔗

1. If the customs value of imported goods cannot be determined on the basis of Articles 38–42 of this Code, the customs value of the goods shall be determined using reasonable means consistent with:

a) the provisions of Article 7 of the 1994 General Agreement on Tariffs and Trade;

b) the general principles and provisions of the Agreement on Implementation of Article 7 of the 1994 General Agreement on Tariffs and Trade;

c) the general principles and provisions of this Chapter.

2. The following shall not be used as a basis for determining the customs value of goods by the reserve method:

a) the domestic selling price of goods produced in Georgia;

b) the price of goods on the domestic market of the exporting country;

c) the price of export goods in a foreign country;

d) the minimum customs value of goods;

e) the arbitrarily selected or fictitious value of goods;

f) the principle of taking the greater of two values of goods;

g) the cost of production of goods, except for the computed value determined for identical or similar goods in accordance with Article 42 of this Code.

3. The customs value of goods determined by the reserve method shall, as far as possible, be based to the maximum extent on the customs value of goods determined earlier.

4. The price to be used during control of the correctness of determining the customs value of goods by the reserve method may include data obtained from open sources of information and from generalization of practice, which are of an informational nature and are used only for the purpose of establishing the correctness of determining the customs value of goods by the reserve method.

Article 44. Elements of the customs value of imported goods🔗

1. When determining the customs value of imported goods on the basis of Article 38 of this Code, the following costs shall be added to the transaction price if these costs were actually incurred by the buyer but are not included in the transaction price:

a) commissions and brokerage costs (except buying commission) as remuneration for which the importer paid its agent an amount for services rendered for the purchase of the goods being valued;

b) the value of the container which, for the purposes of the procedure for release of the imported goods for free circulation, is considered together with these goods. If such container is reusable, at the request of the declarant its value shall be apportioned proportionally to the goods being valued using International Accounting Standards;

c) the value of packing of the goods, including labour and packing materials.

2. If goods or services are supplied by the buyer to the seller free of charge or at a reduced cost, directly or indirectly, and are used in connection with the production of the imported goods and the sale for export to Georgia, when determining the customs value of the imported goods on the basis of Article 38 of this Code, the proportionally apportioned value of the following goods and services shall be added to the transaction price to the extent that this value is not included in the price actually paid or payable:

a) materials, raw materials, parts (components) and other similar components incorporated in the goods;

b) tools, dies, moulds and similar components used in the production of the goods;

c) materials consumed in the production of the goods;

d) engineering, development, design and artistic-design work, drafting work, projects, schemes, sketches and other works performed outside Georgia (services shall be considered as rendered outside Georgia if, on the basis of Article 162¹ of the Tax Code of Georgia, Georgia is not considered the place of supply of services and the transaction is not subject to reverse charge taxation with value added tax).

3. For the purposes of paragraph 2 of this Article, the value of goods or services that is to be included in the customs value shall be determined by the price at which it was acquired by the buyer. If these goods are produced by the buyer, their value shall be determined on the basis of the buyer's accounting records. If the said goods are depreciated, their value shall be determined taking into account depreciation rates.

4. When determining the customs value of imported goods on the basis of Article 38 of this Code, the transaction price shall be increased by royalties or license fees related to these goods, to the extent that they are not included in the paid or payable price and which must be paid directly or indirectly by the buyer as a condition provided for by the contract of sale of the imported goods. License fees are payments for patents, trademarks, copyrights, and know-how. At the same time, license fees and intellectual property fees shall be included in the customs value of the goods if the samples of intellectual property are inseparable from the imported goods and this condition is stated in the contract. If the buyer pays the license fee to a third party, this must be agreed with the seller.

5. When determining the customs value of imported goods on the basis of Article 38 of this Code, the transaction price shall be increased by the value of the part of the profit that, as a result of each subsequent resale, disposal and use of the goods, directly or indirectly accrues to the seller.

6. The following expenses incurred up to the place of importation of these goods into the customs territory of Georgia shall be included in the customs value of the imported goods:

a) transport costs, loading and unloading and handling (including storage in a warehouse) costs. If different consignments of goods are imported by the same means of transport, transport costs shall be distributed proportionally, which must be determined by the contract concluded with the carrier;

b) insurance cost, if this cost was incurred by the declarant.

7. The expenses provided for by this Article shall be added to the actually paid or payable price only on the basis of documented data.

8. When determining the customs value of imported goods, it is inadmissible to add to the transaction price an expense that is not provided for by this Article.

9. The following expenses shall not be included in the customs value of imported goods if these expenses are shown independently/separately from the actually paid or payable price:

a) taxes and fees provided for by the legislation of Georgia;

b) transport costs incurred after crossing the customs border of Georgia;

c) costs of construction and installation works, warehouse, services or technical assistance incurred after the importation of the goods;

d) costs related to the procedures for crossing the customs border of Georgia and other costs related to the movement of goods imported into the territory of Georgia;

e) interest provided for by a financial agreement concluded by the buyer in connection with the purchase of the goods to be imported, if:

e.a) this interest is separated from the actual price of the goods;

e.b) the financial agreement is drawn up in writing;

e.c) If necessary, the buyer may confirm that the goods have actually been sold at the declared price and that the interest rate does not exceed the average interest rate applicable at the time of financing to a similar financial arrangement in the country in which the financing person is located. This provision applies regardless of whether the transaction is financed by the seller, a bank or a third party;

f) expenses necessary to obtain the right to process the imported goods in Georgia;

g) expenses incurred by the buyer to obtain the right to distribute or sell the imported goods.

Law of Georgia of 14 July 2020 No. 6818 – website, 22 July 2020.

Article 45. Determination of the customs value of a carrier of automated data processing or other software🔗

1. When determining the customs value of a carrier of automated data processing or other software, only the price of this software carrier shall be taken into account. If the value of the automated data processing or other software is not separated from the value of the program carrier, the value of the software carrier shall be determined in accordance with Articles 38–44 of this Code.

2. For the purposes of this Article, "software carrier" does not include integrated circuits and similar devices, as well as the parts of which the said circuits and devices consist.

Article 46. Simplified rule for determining the customs value of goods🔗

If on the date of registration of the declaration it is impossible to quantify the value of the price actually paid and/or payable or of the elements (which are or are not included in the customs value of the goods), the customs authority may, on the basis of an application by the interested person, grant that person the right to assess this price or the value of the elements by special criteria. The cases of assessment of the said value by special criteria shall be determined by an Order of the Minister of Finance of Georgia.

Article 47. Release for free circulation and temporary importation🔗

1. When goods are brought into the customs territory of Georgia, the customs obligation arises when foreign goods subject to import tax are placed under one of the following customs procedures:

a) release for free circulation;

b) temporary importation with partial relief from import tax.

2. The customs obligation arises at the moment of registration of the customs declaration.

3. The declarant is the liable person. In the case of indirect representation, the person on whose instruction the declaration is submitted shall also be the liable person. If the customs declaration is drawn up on the basis of information related to one of the customs procedures referred to in paragraph 1 of this Article, which results in the evasion of import tax, the person who provided the information necessary for drawing up this declaration and who knew or should reasonably have known that this information was false shall also be the liable person.

Article 48. Special provisions related to goods without the status of origin in Georgia🔗

1. If a preferential international agreement concluded by Georgia with a foreign country or a group of foreign countries provides for a prohibition of refund of import tax or of exemption from it for goods without the status of origin in Georgia which are used for the production of a product for which, in accordance with the same agreement, a document certifying origin is issued or drawn up, the customs obligation for such goods without the status of origin in Georgia arises upon registration of the re-export declaration related to the product produced with these goods.

2. If the customs obligation arises in accordance with paragraph 1 of this Article, the amount of import tax shall be calculated in the same way as it would have been calculated on the day of registration of the re-export declaration for the purpose of completion of the inward processing procedure, as a result of the registration of the customs declaration for release for free circulation of the goods without the status of origin in Georgia used for the production of the product.

3. The provisions of paragraphs 2 and 3 of Article 47 of this Code shall apply to paragraphs 1 and 2 of this Article. At the same time, in the case of foreign goods provided for by Article 160 of this Code, the person who submits the re-export declaration shall be the liable person. In the case of indirect representation, the person on whose instruction the declaration is submitted shall also be the liable person.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 49. Customs obligation arising upon violation of the customs legislation of Georgia🔗

1. For goods subject to import tax, a customs obligation arises if the following has been violated:

a) the customs legislation of Georgia related to the bringing of foreign goods into the customs territory of Georgia, their removal from customs supervision, movement, processing, storage in a customs warehouse or free zone, temporary storage or disposal;

b) the customs legislation of Georgia related to the use of goods for their intended purpose in the customs territory of Georgia;

c) the condition for placing foreign goods under a customs procedure/re-export or the condition for exemption from import tax payable on goods when used for their intended purpose.

2. The time when the customs obligation arises is:

a) the moment of non-fulfilment or cessation of fulfilment of the obligation whose non-fulfilment gives rise to the customs obligation;

b) the moment of registration of the declaration placing the goods under the customs procedure/re-export, if it is established that the condition of that customs procedure/re-export or the condition for exemption from import tax payable on goods when used for their intended purpose is in fact not fulfilled.

3. In the cases provided for by subparagraphs "a" and "b" of paragraph 1 of this Article, the person liable is:

a) any person who was required to fulfil the relevant obligation;

b) any person who knew or should reasonably have known that the customs obligation had not been fulfilled, and who acted on behalf of the person who was required to fulfil the customs obligation, or who participated in an act that caused the non-fulfilment of the customs obligation;

c) any person who acquired the goods or who holds the goods and who, at the moment of their acquisition or receipt, knew or should have known that the customs obligation related to those goods had not been fulfilled.

4. In the case provided for by subparagraph "c" of paragraph 1 of this Article, the person liable is the person who was required to fulfil the condition of placing the goods under the customs procedure, declaring them or, when used for their intended purpose, exemption from import tax payable on them.

5. If, in relation to any customs procedure provided for by subparagraph "c" of paragraph 1 of this Article, the information entered in the customs declaration or any other information related to the same customs procedure results in evasion of import tax, the person who submitted the information necessary for drawing up that declaration shall also constitute a person liable.

Law of Georgia of 5 April 2023 No. 2767 – website, 18 April 2023.

Article 50. Deduction of paid import tax🔗

For goods placed under the temporary importation procedure with partial relief from import tax, in the event of incurrence of a customs obligation on the basis of paragraph 1 of Article 49 of this Code, the amount of import tax paid within the scope of partial relief therefrom shall be deducted from the amount of import tax corresponding to the customs obligation.

Article 51. Incurrence of a customs obligation in the presence of prohibitions and restrictions🔗

1. Upon importation into the customs territory of Georgia of goods prohibited or restricted by Georgian legislation, a customs obligation shall arise.

2. A customs obligation shall not arise:

a) upon importation of counterfeit money into the customs territory of Georgia;

b) upon importation of a narcotic drug or psychotropic substance into the customs territory of Georgia, except when it is used for medical or scientific purposes under the supervision of the relevant body.

Article 52. Joint and several liability🔗

If the fulfilment of one customs obligation is the duty of several persons, they shall be jointly and severally liable for the payment of the import tax.

Article 53. General rules for calculating the amount of import tax🔗

1. For the calculation of the import tax, its amount shall be determined on the basis of Georgian legislation in force at the time of incurrence of the customs obligation in respect of the relevant goods.

2. If it is impossible to determine the exact time of incurrence of the customs obligation, the time of its incurrence shall be deemed to be the moment when the customs authority established that a customs obligation has arisen in respect of specific goods.

3. If the customs authority, on the basis of information available to it, establishes that the customs obligation arose earlier than the moment provided for by paragraph 2 of this Article, the moment of incurrence of the customs obligation shall be deemed to be the earliest moment established on the basis of this information.

Article 54. Special rules for calculating the amount of import tax🔗

1. When calculating the amount of import tax, the cost of storage of goods placed under a customs procedure or temporarily stored in the customs territory of Georgia and/or the cost of carrying out the permitted operations provided for by Article 116 of this Code in respect of such goods shall not be taken into account, if the declarant submits the relevant document confirming this cost. At the same time, the customs value, quantity, type and origin of foreign goods used in the storage of these goods and/or in carrying out the permitted operations in respect of them shall be taken into account when calculating the amount of import tax.

2. If, as a result of carrying out the permitted operations in respect of goods provided for by Article 116 of this Code, the HS code of the goods placed under a customs procedure in the customs territory of Georgia changes, at the request of the declarant the initial HS code shall apply to these goods.

3. If a customs obligation arises in respect of processed products obtained as a result of the processing of goods placed under the inward processing procedure, at the request of the declarant this customs obligation shall be determined on the basis of the HS code, quantity, type and origin of the said goods at the moment of registration of the declaration on placing these goods under the inward processing procedure.

4. In the cases determined by the Order of the Minister of Finance of Georgia, in order to prevent circumvention of the measures of trade policy or other requirements established by the legislation of Georgia, the amount of import tax shall, without a corresponding request of the declarant, be calculated in accordance with the rules established by paragraph 2 or 3 of this Article.

5. If a customs obligation arises in respect of goods obtained as a result of the processing of goods placed under the outward processing procedure or in respect of the replacement goods provided for by paragraph 1 of Article 153 of this Code, this customs obligation shall be determined on the basis of the value of the operation of processing of the goods carried out outside the customs territory of Georgia.

6. When determining the customs obligation arising in accordance with Article 49 of this Code, the preferential taxation regime for goods established by an international treaty of Georgia, the tax legislation of Georgia, the customs legislation of Georgia or Articles 107–109 of this Code shall be taken into account.

Article 55. General provisions🔗

1. A person who has incurred or may incur the obligation to pay import duty shall provide a guarantee for the payment of import duty (hereinafter – guarantee), unless otherwise provided by the customs legislation of Georgia. The customs authority is entitled, instead of this person, to grant another person the right to provide a guarantee.

2. The customs authority may, taking into account Article 59 of this Code, require the provision of only one guarantee in relation to one specific customs declaration or specific goods. The guarantee provided in relation to a specific customs declaration shall cover the amount of import duty the obligation to pay which arises in relation to the goods declared or released under that customs declaration, regardless of whether the said customs declaration has been drawn up correctly or not.

3. If the guarantee has not been cancelled, it may be used to fulfil a customs obligation arising as a result of the exercise of post-release control of goods.

4. The customs authority may, on the basis of an application by the person provided for in paragraph 1 of this Article, in accordance with Article 59 of this Code, grant that person the right to provide a comprehensive guarantee for two or more operations, customs declarations or customs procedures in respect of which the obligation to pay import duty has arisen or may arise.

5. The provision of a guarantee is not required for the performance by a state authority body or a municipal body of an activity or operation which it performs within the scope of public authority.

6. A guarantee shall not be provided if the goods are moved:

a) by air or sea transport means;

b) by pipeline or power transmission line;

c) by rail transport means.

7. Other cases where the provision of a guarantee is not required shall be determined by an Order of the Minister of Finance of Georgia.

Law of Georgia of 15 July 2020 No. 7006 – website, 28.07.2020.

Article 56. Determination of the amount of the guarantee🔗

1. If, in accordance with the requirements established by the customs legislation of Georgia, the provision of a guarantee is mandatory, the customs authority shall determine the amount of the guarantee which is equivalent to:

a) the exact amount of the import duty the obligation to pay which has arisen or may arise, if at the moment of the request for the provision of the guarantee it is possible to determine that amount;

b) the amount of the guarantee determined in accordance with the procedure established by an Order of the Minister of Finance of Georgia, if it is impossible to determine the exact amount of the import duty.

2. If a comprehensive guarantee is provided to secure the payment of import duty the obligation to pay which has arisen or may arise and the amount of which changes over time, taking into account Article 59 of this Code, the amount of the comprehensive guarantee shall be determined in an amount which at any moment ensures the coverage of the import duty.

Article 57. Optional guarantee🔗

If the submission of a guarantee is not mandatory, but the customs authority considers that the person will not pay the import duty due within the established period, the customs authority shall require the submission of a guarantee. In such case, the amount of the guarantee shall not exceed the amount of the guarantee sum provided for by Article 56 of this Code.

Article 58. Types of guarantee🔗

1. The following guarantees shall be submitted to the customs authority:

a) bank guarantee;

b) insurance policy;

c) deposit;

d) surety, except for the guarantees provided for by subparagraphs "a" and "b" of this paragraph;

e) other guarantee determined by order of the Minister of Finance of Georgia.

2. A person shall be entitled to submit any guarantee provided for by paragraph 1 of this Article.

3. The customs authority may require the replacement of a submitted guarantee if the submitted guarantee is not appropriate for the proper implementation of the customs procedure. The customs authority may require the person submitting the guarantee not to replace the submitted guarantee for a specified period.

4. In the case of submission of a guarantee in the form of a deposit, the customs authority shall not pay interest in connection with this deposit.

5. The rules for the submission and monitoring of a guarantee, as well as the period of validity of the guarantee, shall be determined by order of the Minister of Finance of Georgia.

Article 59. Comprehensive guarantee🔗

1. The right to submit a comprehensive guarantee shall be granted to a person who meets all of the following conditions:

a) it is a person established in Georgia;

b) it meets the criteria provided for by subparagraph "a" of paragraph 1 of Article 26 of this Code;

c) it regularly uses a customs procedure, or holds an authorisation for customs warehouse activity, or meets the criteria provided for by subparagraph "d" of paragraph 1 of Article 26 of this Code.

2. If a comprehensive guarantee is submitted to secure the payment of import duty the obligation to pay which may arise, a person shall be entitled to submit a comprehensive guarantee in a reduced amount or to be released from the obligation to submit a comprehensive guarantee, if it meets the criteria provided for by subparagraphs "b" and "c" of paragraph 1 of Article 26 of this Code.

3. If a comprehensive guarantee is submitted to secure the payment of import duty the obligation to pay which may arise, an authorised economic operator for customs simplifications shall, on the basis of its application, be granted the right to submit a comprehensive guarantee in a reduced amount. In this case, the comprehensive guarantee shall be deemed to have been submitted in the full amount.

4. The amount of the comprehensive guarantee, the rules and conditions for its reduction or for release from the obligation to submit it, as well as the rules and conditions for the introduction and cancellation of a temporary prohibition related to the use of the comprehensive guarantee, shall be determined by order of the Minister of Finance of Georgia.

Article 60. Replacement of a Guarantee or Submission of an Additional Guarantee🔗

If the customs authority determines that the amount of the submitted guarantee is insufficient or that this guarantee can no longer secure, within the established period, the fulfilment of the obligation to pay import duty that may arise, the customs authority shall require the person provided for by paragraph 1 of Article 55 of this Code to replace the submitted guarantee with a new guarantee or to submit an additional guarantee.

Article 61. Cancellation of a Guarantee🔗

1. If the obligation to pay import duty has not arisen or has been fulfilled, or the ground for the origin of this obligation has ceased, the submitted guarantee shall be cancelled.

2. If the import duty has been partially paid or an obligation to pay only part of the import duty may arise, the corresponding part of the amount of the submitted guarantee shall be cancelled on the basis of an application of the relevant person.

Article 62. Fulfilment of Customs Obligation🔗

1. Fulfilment of a customs obligation means payment of import tax by the obligated person.

2. A customs obligation shall be considered fulfilled:

a) in the case provided for by the legislation of Georgia, by using (offsetting) the amount of overpaid tax existing on the personal accounting card of the taxpayer;

b) if, in a criminal case for violation of the customs legislation of Georgia, confiscation of goods without compensation was carried out as a punishment;

c) if a measure for disposal of goods provided for by this Code was carried out;

c¹) in the case provided for by paragraph 4 of Article 70 of this Code, if the owner of the goods submitted to the customs authority reliable evidence of the destruction of the goods under customs supervision in accordance with the procedure established by order of the Minister of Finance of Georgia;

d) if the goods were destroyed as a result of force majeure provided for by this Code;

e) if it arose in accordance with Article 49 of this Code and the customs authority is satisfied that the relevant goods were not consumed or used in the customs territory of Georgia and have been removed from the customs territory of Georgia;

f) by cancellation of the customs declaration by which the obligation to pay import tax arose.

Law of Georgia No. 2767 of 5 April 2023 – website, 18.04.2023.

Article 63. Calculation of the amount of import tax and the procedure for payment🔗

1. The customs authority shall calculate the amount of import tax payable, taking into account the object of import taxation, its rate and the benefit established by law, unless otherwise provided by the customs legislation of Georgia.

2. The customs authority may accept the amount of import tax calculated by the declarant, except for the case provided for by Article 30 of this Code.

3. Import tax shall be paid in the national currency of Georgia – GEL, by cash or non-cash settlement, through a banking institution, unless otherwise provided by the customs legislation of Georgia.

4. (Removed – 5 April 2023, No. 2767).

5. The customs obligation of the obligated person may be performed by a third person.

Law of Georgia of 5 April 2023 No. 2767 – website, 18 April 2023.

Article 64. Notice on the customs obligation🔗

If the origin of the customs obligation is not related to the submission of a customs declaration, the customs authority shall send a tax claim to the obligated person.

Article 65. Time limit for payment of import tax🔗

1. If the basis for the origin of the customs obligation is the submission of a customs declaration, the import tax shall be paid no later than 5 days from the release of the relevant goods.

2. The time limit established by paragraph 1 of this Article may be reduced or increased by order of the Minister of Finance of Georgia to not more than 45 days.

3. The cases and procedure for the submission of the guarantee necessary for the release of goods without payment of import tax shall be determined by order of the Minister of Finance of Georgia.

4. For goods placed under the temporary importation procedure with partial exemption from import tax, the import tax due shall be paid no later than the 15th day of the month following each month, and the last payment shall be made on the day of completion of the temporary importation procedure. The declarant shall have the right to pay the entire amount payable at once.

Article 66. Submission of the General Declaration for the Importation of Goods🔗

1. Before the importation of goods into the customs territory of Georgia, a general declaration for the importation of goods shall be submitted to the customs authority.

2. The following shall not be subject to general declaration:

a) goods moved across the customs border of Georgia by pipeline or power transmission line;

b) air or sea means of transport and goods transported by this means of transport through the territorial waters of Georgia or the airspace of Georgia without stopping;

c) goods in respect of which a customs declaration has been submitted;

d) goods determined by an Order of the Minister of Finance of Georgia.

3. The general declaration for the importation of goods shall be submitted by the carrier. Notwithstanding the carrier's obligation, the general declaration for the importation of goods may be submitted by the importer, the consignee or another person on whose behalf the carrier acts, or any other person who is able to present these goods at the customs checkpoint or who has presented them at the said point.

4. The general declaration for the importation of goods shall contain the data that are necessary for risk analysis for security and safety purposes.

5. If it is impossible to obtain the data provided for by paragraph 4 of this Article from the persons provided for by paragraph 3 of this Article, the customs authority may request these data from another person who has the right to provide them.

6. The customs authority may permit the use of a commercial, port or transport information system for completing the general declaration for the importation of goods, if this system contains the data necessary for this declaration and these data are available within the period established for the submission of the said declaration.

7. Instead of the general declaration for the importation of goods, a notification may be submitted if the relevant data related to general declaration are available to the customs authority, which are located in the computer system of the person carrying out the general declaration.

8. At the customs checkpoint, the time limit for risk analysis for security and safety purposes on the basis of the general declaration for the importation of goods or the notification provided for by paragraph 7 of this Article shall be determined by an Order of the Minister of Finance of Georgia. Appropriate measures shall be taken on the basis of the results of the risk analysis.

9. The procedure and time limit for submitting the general declaration for the importation of goods to the customs authority, the cases when the general declaration for the importation of goods is not submitted, as well as the procedure and cases for requesting the data necessary for declaration from other persons and the list of the said persons shall be determined by an Order of the Minister of Finance of Georgia.

Article 67. Amendment of the general declaration of importation of goods or declaring it invalid🔗

1. The customs authority may, on the basis of the declarant's application, grant the declarant the right to make an amendment to the submitted general declaration of importation of goods.

2. Amendment of the general declaration of importation of goods shall be inadmissible if:

a) the customs authority has notified the person submitting the general declaration of importation of goods of its intention to examine the goods declared by this declaration;

b) the customs authority has established the falsity of the declared data;

c) the goods have been presented to the customs authority.

3. If the goods declared by the general declaration of importation of goods have not been imported into the customs territory of Georgia, the customs authority shall declare this declaration invalid:

a) immediately upon submission of the relevant application by the declarant;

b) after 200 days have elapsed from the submission of this declaration.

4. The rules for amending the general declaration of importation of goods and for declaring it invalid shall be determined by an Order of the Minister of Finance of Georgia.

Article 68. Submission of a customs declaration instead of the general declaration of importation of goods🔗

The customs authority may not require the submission of the general declaration of importation of goods if:

a) a customs declaration was submitted in respect of the goods to be declared by this declaration before the expiry of the time limit for submission of the same declaration. In this case, the customs declaration shall contain at least the data required for the general declaration of importation of goods. Before registration in accordance with Article 89 of this Code, the customs declaration has the status of a general declaration of importation of goods;

b) a temporary storage declaration was submitted in respect of the goods to be declared by this declaration before the expiry of the time limit for submission of the same declaration. In this case, the temporary storage declaration shall contain the data required for the general declaration of importation of goods. Before the declared goods are presented to the customs authority in accordance with Article 73 of this Code, the temporary storage declaration has the status of a general declaration of importation of goods.

Article 69. Notification of the arrival of a sea or air vessel🔗

1. The operator of a sea or air vessel entering the customs territory of Georgia shall notify the customs authority of the arrival of this vessel immediately upon its arrival. If information on the arrival of the sea or air vessel is available to the customs authority, it may not require notification of this information.

2. For the purpose of notifying the arrival of a sea or air vessel, the relevant system of the port or airport or other means of information transmission may be used with the consent of the customs authority.

3. The rule for notifying the information provided for by this Article shall be determined by an Order of the Minister of Finance of Georgia.

Article 70. Customs Supervision🔗

1. Goods brought into the customs territory of Georgia shall, immediately upon their introduction, be subject to customs supervision and may be subject to customs control procedures. Where necessary, such goods shall be subject to such prohibitions and restrictions as are based, among other things, on the necessity of protecting public security, national interests and public morality, human or animal health or plant health and life, national treasures of artistic, historical and archaeological value, and property used in economic activity, including control over precursors, psychotropic substances and psychoactive substances, goods infringing intellectual property rights, and monetary funds. Where necessary, the said goods shall also be subject to fisheries conservation and management measures and other economic policy measures.

2. Goods shall remain under customs supervision until their customs status is determined, and, without the consent of the customs authority, their removal from customs supervision or disposal may not be carried out. In accordance with Article 141 of this Code, Georgian goods shall not be subject to customs supervision after their customs status is determined. Foreign goods shall remain under customs supervision until their customs status is changed, until their removal from the customs territory of Georgia, or until their disposal in accordance with Chapter XV of this Code.

3. The owner of goods under customs supervision may, with the consent of the customs authority, at any time examine the goods and take samples and/or specimens thereof, including for the classification of the goods, for the determination of their customs value or customs status.

4. If goods under customs supervision are destroyed or damaged, the owner of the goods shall be obliged to immediately notify the customs authority thereof and submit reliable evidence of the destruction or damage of the goods. Otherwise, such goods shall be considered unlawfully removed from customs supervision. The procedure for the application of this paragraph shall be determined by an Order of the Minister of Finance of Georgia.

5. Articles 74–78 of this Code shall apply to goods placed under the transit procedure that have been presented to the customs authority of destination in the customs territory of Georgia.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 71. Transportation/movement of goods to a designated place🔗

1. The customs authority may determine a customs route for goods imported into the customs territory of Georgia and/or establish a time limit within which these goods must be moved within the customs territory of Georgia. In this case, the obligation to transport/move goods under customs supervision along the customs route determined by the customs authority and within the established time limit shall be imposed on the person importing these goods into the customs territory of Georgia.

2. Any person who, after the importation of goods into the customs territory of Georgia, assumes responsibility for their transportation shall be subject to the obligation provided for by paragraph 1 of this Article.

3. Goods which are still located in the customs territory of a foreign country and which, on the basis of an international contract concluded between Georgia and that foreign country, may be subject to the control of the customs authority of Georgia, shall be considered as goods imported into the customs territory of Georgia.

4. If customs supervision and customs control are not endangered in relation to goods transported in the border zone by pipeline or power transmission line, to the transportation of letters, postcards, printed materials and their electronic equivalents of minor economic importance (value), or to goods moved by a passenger, a procedure different from the procedure provided for by paragraph 1 of this Article, established by order of the Minister of Finance of Georgia, may be applied.

5. Paragraph 1 of this Article shall not apply to sea and air vessels which move through the territorial waters of Georgia or the airspace of Georgia without stopping, and to goods transported by these vessels.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 72. Measures to be implemented during force majeure🔗

1. Force majeure shall be considered such an emergency or extraordinary circumstance that makes it impossible to fulfil the obligations provided for by this Code and the occurrence of which does not depend on the will of a person, including:

a) natural disaster (earthquake, flood, landslide, avalanche, fire, and others);

b) restriction of foreign trade, declaration of a state of emergency or martial law, another decision of a state body;

c) mass unrest or strike.

2. A person who, as a result of force majeure, is unable to fulfil the obligation provided for by paragraph 1 of Article 71 of this Code shall, at the first opportunity, notify the customs authority of this circumstance and the exact location of the goods (except when the goods have been completely destroyed) and act in accordance with the instructions of the customs authority.

3. If a sea or air vessel provided for by paragraph 5 of Article 71 of this Code is forced, as a result of force majeure, to stop at a port or airport located in the customs territory of Georgia and the obligation provided for by paragraph 1 of the same Article cannot be fulfilled, the person who brought this vessel into the customs territory of Georgia or any person acting on his/her behalf shall immediately notify the customs authority thereof.

4. The customs authority shall take measures to exercise customs supervision over the goods provided for by paragraph 2 of this Article, the sea or air vessel provided for by paragraph 3 of the same Article and the goods transported by this vessel. If necessary, the transportation of these goods and/or this vessel to the relevant customs control zone or to any other place determined by or agreed with the customs authority shall be ensured.

Article 73. Presentation of goods to the customs authority🔗

1. Goods brought into the customs territory of Georgia shall, immediately upon entry at a customs checkpoint or at any other place determined by the customs authority or agreed with it, be presented to the customs authority by:

a) the person who brought the goods into the customs territory of Georgia;

b) the person acting in the name or on the instruction of the person bringing the goods into the customs territory of Georgia;

c) the person who, after the goods were brought into the customs territory of Georgia, assumed responsibility for their transportation.

2. Goods brought into the customs territory of Georgia by sea or air and which are not unloaded and remain on board the same means of transport shall be presented to the customs authority only at the port or airport where their unloading or transhipment is carried out. At the same time, goods brought into the customs territory of Georgia which are unloaded and loaded into the same means of transport in order to ensure the unloading or loading of other goods shall not be presented to the customs authority at the said port or airport.

3. Notwithstanding the obligation of the person provided for by paragraph 1 of this Article, the goods may be presented to the customs authority instead of by that person by:

a) any person who, upon presentation to the customs authority, places the goods under a customs procedure or applies re-export to the goods;

b) a person holding an authorisation for the operation of a customs warehouse or an enterprise of a free industrial zone.

4. Upon presentation of goods to the customs authority, the person shall indicate this on the general declaration of arrival of the goods presented, and in the case provided for by Article 68 of this Code — on the customs declaration or the customs declaration for temporary storage, except where the presentation of the general declaration of arrival of goods is not mandatory.

5. If the presentation of the general declaration of arrival of goods is mandatory and that declaration has not been presented in advance for the goods presented to the customs authority, any of the persons provided for by paragraph 3 of Article 66 of this Code shall, subject to paragraph 5 of the same Article, immediately present the general declaration of arrival of goods or, instead thereof, a customs declaration or a temporary storage declaration.

6. If customs supervision and customs control are not endangered in relation to goods transported in the border zone by pipeline or power transmission line, the carriage of a letter of small economic value, a postcard, printed material and their electronic equivalent, or goods moved by a passenger, a procedure different from the procedure provided for by paragraph 1 of this Article may be applied.

7. Goods presented to the customs authority shall not be moved from the place of their presentation without the permission of the customs authority.

8. The rules for the presentation of goods to the customs authority and for agreeing another place of their presentation with the customs authority shall be determined by Order of the Minister of Finance of Georgia.

Law of Georgia of 5 April 2023 No. 2767 – website, 18 April 2023.

Article 74. Unloading and Opening of Goods🔗

1. Goods shall be unloaded or transshipped from the carrier's means of transport only with the consent of the customs authority, at a place determined by this authority or agreed with it. At the same time, the consent of the customs authority shall not be required in the event of imminent danger, when it is necessary to immediately unload all goods or part thereof. In this case, the customs authority shall be immediately notified of the relevant circumstance.

2. The customs authority may at any time request the unloading and opening of goods for the purpose of inspecting them, taking a sample and/or specimen, or inspecting the carrier's means of transport of these goods.

Article 75. Temporary storage of foreign goods and temporary storage declaration🔗

1. Foreign goods shall be temporarily stored immediately upon presentation to the customs authority.

2. For foreign goods presented to the customs authority, a temporary storage declaration shall be submitted, which contains all data necessary for their temporary storage.

3. Documents related to temporarily stored goods shall be submitted to the customs authority if this is provided for by the legislation of Georgia or is necessary for carrying out customs control.

4. The person provided for by paragraph 1 or paragraph 3 of Article 73 of this Code shall submit the temporary storage declaration no later than the moment of presentation of the goods to the customs authority.

5. The temporary storage declaration shall contain a reference to the general declaration of importation of goods related to the goods presented to the customs authority, except where there is no obligation to submit the general declaration of importation of goods or these goods have already been temporarily stored or placed under a customs procedure and have not yet been taken out of the customs territory of Georgia.

6. With the consent of the customs authority, the temporary storage declaration may be submitted in the following form:

a) by reference to the corresponding general declaration of importation of goods, if the data necessary for the temporary storage declaration are additionally submitted to the customs authority;

b) by a transport document, if it contains the data corresponding to the temporary storage declaration, including a reference to the general declaration of importation of goods.

7. The customs authority may permit the use of a commercial, port or transport information system for completing the temporary storage declaration, if this system contains the data required for this declaration and these data are accessible in accordance with the requirement established by paragraph 4 of this Article.

8. The temporary storage declaration shall be verified in accordance with Articles 96–100 of this Code.

9. The temporary storage declaration may be used for one of the following purposes:

a) for the purpose of notification of the information provided for by Article 69 of this Code;

b) for the purpose of presenting the goods to the customs authority in accordance with Article 73 of this Code, if the requirements established by the same Article are fulfilled.

10. Submission of the temporary storage declaration shall not be required if, no later than the time limit for presentation of the goods to the customs authority, the status of Georgian goods was assigned to the goods in accordance with this Code.

11. The customs authority shall keep the temporary storage declaration or shall have access to it in order to verify whether the goods declared by this declaration were placed under a customs procedure or whether their re-export was carried out in accordance with Article 78 of this Code.

12. For the purposes of this Article, when foreign goods placed under the transit procedure are presented at the place of destination, the data submitted for the transit operation may be considered a temporary storage declaration if they contain the information necessary for the temporary storage declaration.

Article 76. Amendment of the temporary storage declaration or its invalidation🔗

1. Based on the declarant's application, the customs authority shall grant the declarant the right to make amendments to the submitted temporary storage declaration.

2. Making amendments to the temporary storage declaration shall not be permitted if:

a) the customs authority has notified the person submitting the temporary storage declaration of its intention to inspect the goods declared by this declaration;

b) the customs authority has established the inaccuracy of the declared data.

3. If the goods declared by the temporary storage declaration have not been presented to the customs authority, it shall declare this declaration invalid:

a) immediately upon submission by the declarant of the relevant application;

b) after 30 days have elapsed from the submission of this declaration.

4. The rules for the movement of temporarily stored goods, the submission of the temporary storage declaration, the making of amendments thereto and its invalidation, as well as the conditions for agreeing with the customs authority on another place for the temporary storage of goods, shall be determined by Order of the Minister of Finance of Georgia.

Law of Georgia No. 2767 of 5 April 2023 – website, 18 April 2023.

Article 77. Conditions and obligations related to the temporary storage of goods🔗

1. Temporarily stored goods shall be stored only in a customs warehouse or in another storage place determined by the customs authority or agreed with it.

2. Subject to paragraph 3 of Article 70 of this Code, only such operations shall be carried out in respect of temporarily stored goods as ensure their preservation in an unchanged state (without changing their external appearance or technical characteristics). The Government of Georgia shall have the right to establish a rule different from the rule provided for by this paragraph.

3. The owner of the customs warehouse or of another storage place determined by the customs authority or agreed with it, where temporarily stored goods are stored, shall be obliged to:

a) ensure that temporarily stored goods are not unlawfully removed from customs supervision;

b) fulfil the obligations related to the storage of goods in temporary storage.

4. If the continuation of the temporary storage of goods is impossible, the customs authority shall immediately take the measures provided for by Chapter XV of this Code.

Article 78. Completion of Temporary Storage of Goods🔗

1. The customs formalities necessary for determining a customs procedure for temporarily stored foreign goods or for applying re-export shall be carried out within 30 days.

2. The customs authority shall be entitled to reduce the time limit established by paragraph 1 of this Article or extend it by 60 days.

3. In the case of temporary storage of goods in a customs warehouse, the time limit referred to in paragraph 1 of this Article shall be 180 days.

4. Goods in respect of which a customs procedure has already been determined, except for the export procedure, may, at the request of the person concerned, be stored temporarily in a customs warehouse for no more than 180 days, and in the case of the export procedure, for no more than 120 days.

5. The customs authority shall be entitled to extend the time limits established by paragraphs 3 and 4 of this Article by no more than 180 days.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 79. Choice of Customs Procedure🔗

Unless otherwise provided by the legislation of Georgia, the declarant may choose any customs procedure under which he/she places the goods, taking into account the conditions of that customs procedure, regardless of the characteristics, quantity, country of origin, destination and consignment of the said goods.

Article 80. Customs Status of Georgian Goods🔗

1. Any goods present in the customs territory of Georgia shall be considered Georgian goods until their status as foreign goods is established.

2. In certain cases, where the rule established by paragraph 1 of this Article does not apply, the status of Georgian goods shall be confirmed for the goods.

3. In the case determined by an Order of the Minister of Finance of Georgia, goods wholly obtained in the customs territory of Georgia shall not have the status of Georgian goods if they are obtained from temporarily stored goods or from goods placed under the transit, customs warehousing, temporary importation or inward processing procedure.

4. The rules for granting, confirming and verifying the customs status of Georgian goods, as well as certain cases where goods present in the customs territory of Georgia are not considered goods having the status of Georgian goods, shall be determined by an Order of the Minister of Finance of Georgia.

Article 81. Loss of customs status of Georgian goods🔗

Goods lose the status of Georgian goods and acquire the status of foreign goods if:

a) they are taken out of the customs territory of Georgia;

b) they are placed under the transit, customs warehousing, free zone or inward processing procedure, if this is permitted by the legislation of Georgia;

c) they are placed under a customs procedure for a specific end-use and are subsequently transferred to the State or destroyed in such a way that a residue remains;

d) the customs declaration for release of the goods into free circulation was declared invalid after the release of the goods;

e) in accordance with subparagraph "b.a" of paragraph 1 of Article 90 and subparagraph "b" of paragraph 3 of Article 160 of this Code, an amendment is made to the customs declaration for release of the goods into free circulation.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 82. Customs declaration and exercise of customs supervision over Georgian goods🔗

1. Goods intended to be placed under a customs procedure shall be declared by the customs declaration for the relevant customs procedure.

2. In a case other than that provided for by paragraph 2 of Article 9 of this Code, as determined by an Order of the Minister of Finance of Georgia, the customs declaration may be submitted by means other than an electronic data-processing technique, in accordance with the procedure established by an Order of the Minister of Finance of Georgia.

3. Georgian goods placed under the export or outward processing procedure shall be subject to customs supervision from the registration of the customs declaration provided for by paragraph 1 of this Article until their removal from the customs territory of Georgia or until that customs declaration is declared invalid.

4. The rules for the submission and registration of a customs declaration, the acceptance by the customs authority of the documents accompanying the customs declaration, the amendment of a customs declaration and its cancellation shall be determined by an Order of the Minister of Finance of Georgia.

Article 83. Time and place of performance of customs formalities🔗

1. The customs authority shall establish the working hours of the places of clearance of goods, customs checkpoints and the places of performance of customs formalities falling within the competence of the customs authority in such a way that, taking into account the type of customs procedure and the type of transport of goods placed under a customs procedure, the flow of international transport is not hindered or disrupted.

2. The time and place of performance of customs formalities by the customs authority shall be determined by an Order of the Minister of Finance of Georgia.

Article 84. Standard Customs Declaration and Its Accompanying Documents🔗

1. A standard customs declaration shall contain all data required for the application of the customs procedure under which the relevant goods are declared.

2. All documents accompanying a standard customs declaration that are necessary for the application of the customs procedure under which the relevant goods are declared shall be kept by the declarant and shall be available to the customs authority at the time of submission of the standard customs declaration. When a standard customs declaration is submitted by electronic means of data processing or in a case provided for by Georgian legislation, the attachment to the standard customs declaration of the documents specified for the application of the said customs procedure shall not be required if they have been submitted in electronic form. These documents shall be kept by the declarant for the period established by paragraph 1 of Article 31 of this Code. The declarant shall, upon request, submit them to the customs authority.

3. Any document accompanying a standard customs declaration provided for by paragraph 2 of this Article shall be submitted to the customs authority if this is required by Georgian customs legislation or this document is necessary for carrying out customs control.

4. In a case determined by an Order of the Minister of Finance of Georgia, a person to whom the customs authority has granted the relevant authority may create a document accompanying a standard customs declaration.

Article 85. Simplified Customs Declaration🔗

1. A person may, with the consent of the customs authority, place goods under a customs procedure on the basis of a simplified customs declaration that does not fully contain the data provided for by paragraph 1 of Article 84 of this Code or that is not fully accompanied by the documents provided for by paragraphs 2 and 3 of the same Article.

2. A person may regularly submit the simplified customs declaration provided for by paragraph 1 of this Article with the consent of the customs authority, which is issued in accordance with the conditions determined by an Order of the Minister of Finance of Georgia.

Article 86. Supplementary Customs Declaration🔗

1. In the case of submission of a simplified customs declaration provided for by Article 85 of this Code or submission of a customs declaration in the form of entry of data in the declarant's records in accordance with Article 94 of this Code, the declarant shall, within the period determined by order of the Minister of Finance of Georgia, submit to the customs authority a supplementary customs declaration containing all data necessary for the application of the relevant customs procedure.

2. In the case of submission of a simplified customs declaration provided for by Article 85 of this Code, all documents accompanying this declaration shall be kept by the declarant and, at the same time, shall be available to the customs authority for the period determined by order of the Minister of Finance of Georgia.

3. Submission of a supplementary customs declaration shall not be required:

a) if the goods were placed under the customs warehousing procedure;

b) in other cases determined by order of the Minister of Finance of Georgia.

4. The customs authority may not require the submission of a supplementary customs declaration if all of the following conditions are fulfilled:

a) the quantity and value of the goods declared by the simplified customs declaration are less than the minimum thresholds established by order of the Minister of Finance of Georgia;

b) the simplified customs declaration already contains all information necessary for the application of the relevant customs procedure;

c) the simplified customs declaration has not been submitted in the form of entry of data in the declarant's records.

5. The simplified customs declaration provided for by Article 85 of this Code or the customs declaration submitted in the form of entry of data in the declarant's records in accordance with Article 94 of this Code and the supplementary customs declaration shall be considered a single, indivisible document, which shall be granted legal force from the date of registration of the simplified customs declaration in accordance with Article 89 of this Code, and in the case of entry of data in the declarant's records — from the day of completion of the entry of these data.

Article 87. Submission of a customs declaration🔗

1. Subject to paragraph 1 of Article 86 of this Code, a customs declaration may be submitted by a person who is able to present the goods to the customs authority and to provide all the information necessary for the application of the customs procedure under which the goods are declared. At the same time, the customs declaration shall be submitted by the person or his/her representative if the registration of the customs declaration gives rise to specific obligations of a particular person.

2. The declarant shall be a person established in Georgia, except for the cases provided for by paragraph 3 of this Article.

3. The obligation to be established in Georgia shall not be required of:

a) a person who submits a customs declaration for placing goods under the transit or temporary importation procedure;

b) a person who, in agreement with the customs authority, submits a customs declaration irregularly, including in the case of the inward processing procedure or the use of goods for a specific purpose;

c) a person established in the customs territory of a foreign country adjacent to the customs territory of Georgia, who presents goods directly at the customs checkpoint existing between these territories, provided that, applying the principle of reciprocity, a person established in the customs territory of Georgia enjoys a similar benefit.

Article 88. Prior submission of a customs declaration🔗

A customs declaration may be submitted in advance, before the presentation to the customs authority of the goods declared by this declaration. If, within 45 days from the day of the prior submission of the customs declaration, these goods have not been presented to the customs authority, the customs declaration shall be considered not to have been submitted.

Article 89. Registration of a customs declaration🔗

1. A customs declaration that meets the conditions provided for by this Chapter shall be registered by the customs authority immediately.

2. Unless otherwise provided by the customs legislation of Georgia, the customs authority shall apply to the goods the customs legislation of Georgia in force on the day of registration of the customs declaration.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 90. Amendment of a registered customs declaration🔗

1. On the basis of a declarant's application, amendment of a registered customs declaration shall be possible:

a) before the release of goods, except in cases where:

a.a) the customs authority has notified the declarant of its intention to examine this declaration;

a.b) the customs authority has established the existence of incorrect data in this declaration;

b) after the release of goods:

b.a) in the case provided for by subparagraph "b" of paragraph 3 of Article 160 of this Code, where re-export of part of the goods released for free circulation is carried out;

b.b) within 3 years from the registration of the customs declaration, before the delivery of the relevant judgment of the court or decision of the customs authority on the conduct of post-release control, in order for the declarant to fulfil the obligations related to placing the goods under the relevant customs procedure.

2. Amendment of a registered customs declaration may be made before the release of goods on the initiative of the customs authority, if the existence of incorrect data in this declaration has been established.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 91. Invalidation of a registered customs declaration🔗

1. The customs authority shall, on the basis of a declarant's application, declare invalid a registered customs declaration if one of the following conditions is fulfilled:

a) the customs authority has become satisfied that the relevant goods must immediately be placed under a customs procedure different from that declared;

b) due to special circumstances, the application of the declared customs procedure to the goods is unjustified.

2. If the customs authority has notified the declarant of its intention to examine the customs declaration, the declarant's application for invalidation of this customs declaration shall not be accepted until the examination of the goods is completed.

3. Invalidation of a customs declaration after the release of the relevant goods shall be inadmissible, except in cases determined by order of the Minister of Finance of Georgia.

4. After the release of goods, a customs declaration may be declared invalid:

a) on the basis of the declarant's application, if he submits evidence that due to the occurrence of certain circumstances (including destruction, damage or deterioration of the goods, change of contract terms) it is impossible to apply the declared customs procedure to these goods;

b) when changing the intended use of goods (release for free circulation for another intended use) that were released for free circulation under the end-use procedure, subject to exemption from import duty.

Article 92. Simplified drawing up of a customs declaration for goods subject to import tax at different rates🔗

1. On the basis of an application by the declarant, with the consent of the customs authority, the import tax for a consignment of goods may be calculated on the basis of the highest import tax rate determined for the various goods contained therein, if this consignment of goods consists of goods subject to import tax at different rates and the drawing up of a customs declaration for the consignment requires large costs and efforts disproportionate to the amount of the import tax.

2. The rule for calculating import tax provided for by paragraph 1 of this Article shall not apply in respect of goods subject to prohibitions and/or restrictions established by the customs legislation of Georgia or subject to excise taxation.

3. The rules and conditions for the simplified drawing up of a customs declaration provided for by this Article shall be determined by an Order of the Minister of Finance of Georgia.

Article 93. Centralized clearance of goods🔗

1. The customs authority shall have the right, on the basis of an application by an interested person, to grant that person the right to submit a customs declaration and to carry out the clearance of goods at different places.

2. The rules for submitting a customs declaration and carrying out the clearance of goods at different places for the clearance of goods shall be determined by an Order of the Minister of Finance of Georgia.

Article 94. Reflection of data in the declarant's records🔗

1. The customs authority may, on the basis of a person's application, grant that person authorization to lodge a customs declaration, including a simplified customs declaration, in the form of entry of data in the declarant's records, if that person ensures the customs authority's access to this data.

2. A customs declaration shall be considered registered from the moment of entry of the data on the goods in the declarant's records.

3. The customs authority may, on the basis of a person's application, cancel the obligation to present the goods to the customs authority. In this case, the goods shall be considered released from the moment of entry of the data on the goods in the declarant's records. In accordance with this paragraph, the presentation of the goods to the customs authority shall not be mandatory if all of the following conditions are met:

a) the declarant is an authorized economic operator related to customs simplification;

b) exemption from the obligation to present the goods to the customs authority is conditioned by the type of goods and the frequency of their entry into the customs territory of Georgia or exit from the customs territory of Georgia;

c) the customs authority has access to all information necessary for the exercise of its powers by the customs authority during the inspection of the goods, where necessary;

d) at the moment of entry of the data on the goods in the declarant's records, the goods are no longer subject to the restrictions and prohibitions established by the legislation of Georgia, unless otherwise provided by the authorization of the authorized economic operator.

4. In special cases, the customs authority is entitled to require the presentation of the goods to it.

5. The conditions upon the fulfilment of which the release of goods is permitted shall be established by the authorization.

6. The conditions for issuing authorization to lodge a customs declaration in the form of entry of data in the declarant's records and the rules for entering data on goods in the declarant's records shall be determined by an Order of the Minister of Finance of Georgia.

Article 95. Calculation of the amount of import tax by an authorized economic operator🔗

1. The customs authority may, on the basis of an application by an authorized economic operator that has authorization for customs simplification, grant it the right to carry out certain customs formalities related to the calculation of the amount of import tax and individual customs control measures under customs supervision.

2. The conditions for granting the right to carry out the customs formalities related to the calculation of the amount of import tax and the customs control measures provided for by paragraph 1 of this article, the customs procedure and/or customs control measures to be carried out and the rules for their implementation shall be determined by an Order of the Minister of Finance of Georgia.

Article 96. Verification of a registered customs declaration🔗

1. The customs authority shall be authorised, for the purpose of verifying the accuracy of the data contained in a registered customs declaration, to:

a) examine this declaration and its accompanying documents;

b) require the declarant to submit additional documents;

c) inspect the goods;

d) take a sample and/or specimen of the goods for its analysis or for a detailed examination of the goods.

2. The procedure for verifying a registered customs declaration shall be determined by an order of the Minister of Finance of Georgia.

Article 97. Inspection of goods, taking of a sample and/or specimen🔗

1. The declarant shall ensure the delivery of the goods to the place designated for the inspection of the goods and the taking of a sample and/or specimen thereof for analysis, as well as the preparation of the goods for the inspection of the goods and the taking of a sample and/or specimen thereof for analysis. The declarant shall bear the costs related to these actions.

2. The declarant or his/her representative shall have the right to be present at the inspection of the goods and the taking of a sample and/or specimen thereof for analysis. The declarant or his/her representative shall be obliged, upon the request of the customs authority, to be present at the inspection of the goods and the taking of a sample and/or specimen thereof for analysis, for the purpose of providing assistance for the inspection of the goods and the taking of a sample and/or specimen thereof for analysis.

3. The taking of a sample and/or specimen of goods under customs supervision may also be carried out, with the consent of the customs authority, by the declarant, another person having authority related to the goods and/or means of transport, or his/her representative, or an employee of another state control body, if this:

a) does not contradict and does not impede customs control;

b) does not change the characteristics of the goods.

4. If a sample and/or specimen of goods is taken on the initiative of the customs authority, the costs of the analysis or examination carried out shall be borne by the customs authority. At the same time, the customs authority shall not be obliged to reimburse the value of the goods taken as a sample and/or specimen.

5. If a sample and/or specimen of goods is taken on the initiative of the declarant, the costs of the analysis or examination carried out shall be borne by the declarant.

6. The results of the analysis/expert examination or examination of a sample and/or specimen of goods shall be communicated to the declarant or another person having authority related to the goods, or to his/her representative.

7. After the completion of the analysis/expert examination or examination, the sample and/or specimen of goods shall be returned to its owner, except where this sample and/or specimen is subject to destruction in accordance with the legislation of Georgia, or part thereof was used up in the process of analysis or examination, or the costs related to the return of the sample and/or specimen exceed its value.

8. The rules for the inspection of goods and the taking of a sample and/or specimen shall be determined by an order of the Minister of Finance of Georgia.

Article 98. Partial examination of goods and taking of a sample and/or specimen from part of the goods🔗

1. The results of a partial examination of goods or of the analysis of a sample and/or specimen taken from part of the goods shall apply to all goods declared under a single customs declaration, if the customs authority carries out an examination of part of the goods declared under this declaration or takes a sample and/or specimen from part of the goods.

2. If the declarant considers that the results provided for by paragraph 1 of this Article cannot apply to the remaining goods, he/she shall have the right to request that an additional examination of the goods be carried out. This request shall be granted if the goods have not been released or the goods have been released, but the declarant confirms that they have not undergone any changes.

3. If several types of goods are declared under a single customs declaration, for the purposes of paragraphs 1 and 2 of this Article, the data on each type of goods shall be considered as separately declared.

Article 99. Results of verification of a customs declaration🔗

1. The results of the verification of a customs declaration shall apply to the application of the customs procedure under which the goods are placed.

2. If a customs declaration is not verified, paragraph 1 of this Article shall apply on the basis of the data declared under this customs declaration.

Article 100. Means of customs identification🔗

1. If marking is necessary for the subsequent identification of goods and/or is required to ensure the integrity of goods and/or a means of transport and/or a building/structure, at any stage of customs supervision the customs authority or a person authorized by it shall carry out the marking thereof using a means of customs identification.

2. For the purpose of identification of goods and/or a means of transport, instead of or together with a means of customs identification, video recording and/or photography of goods, scaled depiction and marking of goods by marking with digital or manufacturer-applied serial numbers or by description may be used.

3. The customs authority shall be entitled to recognize another means of customs identification by which goods and/or a means of transport and/or a building/structure have been marked by the consignor, carrier, declarant and/or another obligated person or by the customs authority of a foreign country. In this case, the means of customs identification recognized by the customs authority shall replace the means of customs identification established in Georgia.

4. The customs authority shall have the right to require the attendance of an interested person or their authorized representative when a means of customs identification is applied and/or removed/eliminated by the customs authority.

5. A means of customs identification shall be applied in such a way that, without damaging it, it is impossible to access the goods or to unlawfully enter a means of transport or building/structure without leaving traces. A means of customs identification shall be applied in such a way as to exclude its removal/elimination without damage. The customs authority or a person authorized by it shall be obliged to indicate in the relevant document and/or customs declaration the application of a means of customs identification by it.

6. The owner of a means of transport or building/structure shall be obliged to immediately notify the customs authority of damage to or loss of a means of customs identification and of the discovery of traces of damage or other damage on a marked means of transport or building/structure.

7. It shall be inadmissible to remove/eliminate a means of customs identification without the consent of the customs authority, except in the case where its removal/elimination is necessary to ensure the integrity of goods stored in a means of transport or building/structure and/or protection from destruction, and this necessity arose as a result of force majeure provided for by this Code.

8. The rules for means of customs identification, their application and removal/elimination, handling of marked goods, means of transport and buildings/structures, and recognition of other means of goods identification shall be determined by an Order of the Minister of Finance of Georgia.

Article 101. Release of Goods🔗

1. If, as a result of the verification of the customs declaration, it is established that the requirements established by the legislation of Georgia are fully complied with, the goods shall be released immediately, upon completion of the verification of the customs declaration, and if the customs declaration is not verified − upon adoption of this decision.

2. In accordance with paragraph 1 of this Article, goods shall also be released if the verification of the customs declaration provided for by Article 96 of this Code cannot be completed within a reasonable time and, for the purpose of its verification, the presence of the goods at the place of presentation is no longer required.

3. All goods declared under one customs declaration shall be released simultaneously, except for the case in respect of which the customs authority takes a decision.

4. If several types of goods are declared under one customs declaration, for the purposes of paragraph 3 of this Article, the data on each type of goods shall be considered as declared separately.

5. If placing goods under a customs procedure entails the submission of a guarantee, the release of goods to be placed under this customs procedure shall be permitted after submission of the relevant guarantee.

Article 102. Destruction of Goods🔗

1. If there is a relevant ground, the customs authority may request the destruction of goods presented to it, of which it shall notify the owner of the goods. The owner of the goods shall reimburse the costs of destruction of the goods.

2. The customs formalities to be carried out for the destruction of goods shall be determined by Order of the Minister of Finance of Georgia.

Article 103. Measures for disposal of goods🔗

1. For the purpose of disposal of goods, the customs authority may carry out the following measures in respect of it:

a) confiscation of the goods and/or means of transport of the customs offence free of charge as a customs sanction;

b) destruction of the goods;

c) transfer of the goods into state ownership.

2. The measures for disposal of goods provided for by subparagraphs „b“ and „c“ of paragraph 1 of this Article shall be carried out at the initiative of the customs authority in respect of goods:

a) which cannot be released, because for reasons attributable to the declarant it became impossible to carry out customs formalities/place the goods under a customs procedure within the established period, or the import duties payable were not paid and/or a guarantee was not submitted;

b) the entry of which into the customs territory of Georgia and/or removal from the customs territory of Georgia is prohibited or restricted;

c) which were not removed from the customs control zone within 5 working days after release, except where the legislation of Georgia permits the released goods to remain in the customs control zone for a certain period;

d) in respect of which (including temporarily stored goods) no customs procedure was determined within the period established by the legislation of Georgia, or in respect of which, before the expiry of the said period, the measure for disposal of goods provided for by paragraph 4 of this Article was not carried out;

e) in respect of which a customs procedure has been determined and the period established by paragraph 4 of Article 78 of this Code has expired, if this customs procedure has not been completed or another customs procedure has not been determined, or in respect of which the measure for disposal of goods provided for by paragraph 4 of this Article has not been carried out;

f) the storage period of which in the customs warehouse procedure has expired and has not been extended, or in respect of which another customs procedure has not been determined or the measure for disposal of goods provided for by paragraph 4 of this Article has not been carried out;

g) which are provided for by paragraph 8 of Article 164 of this Code.

3. The customs authority shall notify the declarant in writing of the intention to dispose of the goods and shall set a period for eliminating the deficiencies provided for by subparagraphs „a“−„f“ of paragraph 2 of this Article, which shall not exceed 30 days. If within this period the declarant eliminates the said deficiencies or re-exports the goods, the customs authority shall not transfer the goods into state ownership or destroy the goods.

4. The following measures for disposal of goods shall be carried out at the initiative of the declarant and under the supervision of the customs authority:

a) transfer of the goods into state ownership or municipal ownership;

b) destruction of the goods.

5. The procedure for carrying out measures by the customs authority in respect of goods for the purpose of their disposal shall be determined by an Order of the Minister of Finance of Georgia.

Law of Georgia of 15 July 2020 No. 7006 – website, 28.07.2020.

Article 104. Transfer of goods to the state and/or municipality🔗

1. The holder of the procedure or the holder of the goods may, upon prior agreement with the customs authority, transfer foreign goods and goods imported for a specific purpose into the ownership of the state and/or municipality.

2. The rules for the transfer of goods to the state and/or municipality shall be determined by order of the Minister of Finance of Georgia.

Law of Georgia of 15 July 2020 No. 7006 – website, 28.07.2020.

Article 105. Scope and purpose🔗

1. Foreign goods intended for sale, consumption or use in Georgia shall be placed under the release for free circulation procedure, unless otherwise provided by this Code.

2. Release of goods into free circulation entails:

a) the emergence of the obligation to pay import tax;

b) the application to them of trade defence measures and prohibitions and restrictions, if they have not been applied previously;

c) the fulfilment of other requirements related to their importation.

3. Upon release into free circulation, goods shall be granted the status of Georgian goods.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 106. Application of trade defence measures🔗

1. If processed products obtained as a result of the processing of goods placed under the inward processing procedure are released into free circulation and the amount of import tax is calculated in accordance with paragraph 3 of Article 54 of this Code, the trade defence measures applicable in the case of release into free circulation of goods placed under the inward processing procedure shall be applied to the processed products.

2. Paragraph 1 of this Article shall not apply to waste obtained as a result of processing.

3. When processed products obtained as a result of the processing of goods placed under the inward processing procedure are released into free circulation and the amount of import tax is calculated in accordance with paragraph 1 of Article 53 of this Code, the trade defence measures established for the processed products shall be applied only if equivalent trade defence measures are applied to the goods placed under the inward processing procedure.

4. In the case of release into free circulation of processed products obtained as a result of the processing of goods placed under the outward processing procedure, trade defence measures shall not be applied if:

a) these products retain Georgian origin in accordance with paragraph 4 of Article 36 of this Code;

b) the outward processing includes repair, including the use of the standard exchange system in accordance with Article 153 of this Code;

c) the outward processing is used for additional processing in accordance with Article 147 of this Code.

Article 107. Returned goods🔗

1. If goods or part thereof, which were exported from Georgia and which were granted foreign goods status, returned to Georgia within 3 years for release into free circulation, upon the declarant's request the returned goods shall be exempt from import duty, if upon return to the customs territory of Georgia it is in the same condition as it was when taken out of the customs territory of Georgia.

2. The customs authority shall be entitled, on the basis of the declarant's application, to extend the time limit established by paragraph 1 of this article by 1 year.

3. If before taking out of the customs territory of Georgia the goods were released in Georgia into free circulation for the intended purpose, the returned goods in accordance with paragraph 1 of this article shall be exempt from import duty, if it is brought into the customs territory of Georgia in unchanged condition and for the same intended purpose.

4. Paragraphs 1-3 of this article apply to the case when goods in accordance with Article 81 of this Code lose the customs status of Georgian goods and then are released into free circulation.

5. To benefit from the exemption from import duty provided by this article, the conditions provided by the same article must be fulfilled. Fulfillment of these conditions is confirmed in the manner established by Order of the Minister of Finance of Georgia.

6. For processed products obtained as a result of processing of goods placed under the inward processing procedure, which were re-exported from the customs territory of Georgia and returned to the customs territory of Georgia in unchanged condition, the amount of import duty payable shall be calculated in accordance with paragraph 3 of Article 54 of this Code. In this case, the date of registration of the re-export declaration shall be considered the date of release of the said product into free circulation.

7. The exemption from import duty provided by this article shall not apply to processed products exported from Georgia in accordance with subparagraph "c" of paragraph 4 of Article 117 of this Code, unless it is ensured that the goods provided by the same subparagraph and/or the returned goods will not be placed under the inward processing procedure.

Article 108. Sea fishing products and other sea products🔗

1. Taking into account subparagraph "a" of paragraph 4 of Article 36 of this Code, upon release into free circulation, the following goods shall be exempt from import duty:

a) sea fishing product or other sea product harvested outside the territorial waters of Georgia by a vessel registered in Georgia and flying the flag of Georgia;

b) product obtained on a processing (manufacturing) vessel registered in Georgia and flying the flag of Georgia from the product provided by subparagraph "a" of this paragraph.

2. To benefit from the exemption from import duty provided by paragraph 1 of this article, the conditions provided by the same article must be fulfilled. Fulfillment of these conditions is confirmed in the manner established by Order of the Minister of Finance of Georgia.

Article 109. Free Trade Point🔗

1. A free trade point is a customs control zone where the following may be sold at retail for personal use to a natural person who leaves the customs territory of Georgia:

a) foreign goods without payment of import duty and without application of trade protective measures;

b) Georgian goods.

2. A free trade point shall carry out activities on the basis of a permit issued by the customs authority.

3. Any goods may be sold in a free trade point, except for goods determined by an Order of the Minister of Finance of Georgia.

4. Goods stored in a free trade point shall remain unchanged, except for changes caused by natural wear or natural losses characteristic of normal storage conditions.

5. The procedure and conditions for issuing a permit for the activity of a free trade point shall be determined by a Resolution of the Government of Georgia.

Article 110. Special Procedures🔗

Goods may be placed under any of the following special procedures:

a) transit;

b) customs warehouse;

c) free zone;

d) temporary importation;

e) end-use;

f) inward processing;

g) outward processing.

Article 111. Authorization🔗

1. Authorization issued by the customs authority is required for the use of the inward processing, outward processing, temporary admission and end-use procedures.

2. The customs authority may, on the basis of an application of an interested person, issue an authorization with retroactive effect if all of the following conditions are met:

a) the economic need for the relevant customs procedure is confirmed;

b) the application is not related to an attempt to deceive the customs authority;

c) the accounting records of the interested person confirm:

c.a) compliance with the requirements relating to the relevant customs procedure;

c.b) the possibility of identifying the goods during the relevant period, where this is possible;

c.c) the possibility of controlling the relevant procedure by means of these records;

d) all necessary formalities relating to the goods can be carried out, including the invalidation of the customs declaration, where this is necessary;

e) during the 3 years preceding the receipt of the application, no authorization with retroactive effect has been issued to the applicant;

f) an examination of the economic conditions is not required, except where the applicant requests the extension of an authorization previously issued for the same type of operation and goods;

g) the application relating to the extension of an authorization previously issued for the same type of operation and goods is submitted within 3 years of the issuance of the initial authorization.

3. The customs authority may issue an authorization with retroactive effect in respect of goods which were placed under a customs procedure but which are no longer available at the time of receipt of the application of the interested person relating to the issuance of this authorization.

4. Unless otherwise provided by the customs legislation of Georgia, the authorization provided for by paragraph 1 of this Article shall be issued to a person who meets all of the following conditions:

a) it is a person established in the customs territory of Georgia;

b) it confirms the ability to carry out the operations properly. An authorized economic operator relating to customs simplification shall be considered to meet the condition provided for by this subparagraph if the operations to be carried out by it are indicated in the authorization issued in accordance with subparagraph "a" of paragraph 2 of Article 25 of this Code;

c) it provides the guarantee provided for by Article 55 of this Code, where the placing of the goods under a special procedure gives rise to a customs debt;

d) in the case of the temporary admission or inward processing procedure, it uses the goods in the prescribed manner or arranges for their use, or carries out the processing operation of the goods or arranges for its carrying out.

5. Unless otherwise provided by the customs legislation of Georgia, the authorization provided for by paragraph 1 of this Article shall be issued if, in addition to the conditions provided for by paragraph 4 of this Article, the following conditions are also met:

a) the customs authority shall have the possibility to carry out customs supervision at any time without administrative formalities incompatible with economic needs;

b) the granting of an authorisation related to the inward processing or outward processing procedure shall not have a negative impact on the interests of a local entrepreneur.

6. The granting of an authorisation shall be considered not to have a negative impact on the interests of a local entrepreneur if there is no evidence confirming the contrary circumstance or if the economic conditions are considered fulfilled.

7. The cases in which it is necessary for the granting of an authorisation to examine the impact of its granting on the interests of a local entrepreneur, and the relevant competent authority whose opinion is necessary for the granting of the authorisation, shall be determined by a Resolution of the Government of Georgia.

8. The procedure and conditions for the granting of an authorisation by the customs authority and the procedure for exemption from compliance with these conditions shall be determined by an Order of the Minister of Finance of Georgia.

Article 112. Record-keeping🔗

1. Unless otherwise provided by the customs legislation of Georgia, the holder of an authorisation, the holder of a procedure (except for the holder of a transit procedure) or any person who carries out activities related to the storage or processing of goods, or the sale or purchase of goods in a free zone, shall keep proper records in the form determined by an Order of the Minister of Finance of Georgia. Record-keeping implies the keeping of such data and other information as will enable the customs authority to supervise the relevant customs procedure, in particular, in relation to the identification, customs status and movement of goods placed under this procedure.

2. An authorised economic operator related to customs simplification shall be considered to fulfil the obligation provided for by paragraph 1 of this Article if the record-keeping maintained by it corresponds to the purposes of the special procedure.

Article 113. Completion of the special procedure🔗

1. Subject to Article 141 of this Code, a special procedure, except for the transit procedure, shall be completed if the goods placed under this procedure or the processed products were placed under another customs procedure, or were taken out of the customs territory of Georgia, or were destroyed without residue, or, in accordance with Article 104 of this Code, were transferred to the State.

2. The transit procedure shall be completed if:

a) the goods and the documents related thereto were presented to the customs authority of destination or they were presented at another place determined by the customs authority;

b) the goods were placed under another customs procedure;

c) the disposal of the goods was carried out in accordance with Chapter XV of this Code.

3. In the case provided for by subparagraph „a“ of paragraph 2 of this Article, the customs authority shall complete the transit procedure if, by comparing the data available at the customs office of dispatch and the customs office of destination or at another place determined by the customs authority, it is confirmed that this procedure was carried out in compliance with the customs legislation of Georgia.

4. If the special procedure is not completed in accordance with the established conditions, the customs authority shall take any necessary measure to ensure compliance with the requirements established by the customs legislation of Georgia.

5. The rules and time limit for the completion of the special procedure shall be determined by order of the Minister of Finance of Georgia.

Article 114. Transfer of the rights and obligations of the holder of the procedure🔗

1. The rights and obligations of the holder of the procedure related to goods placed under a special procedure, except for goods placed under the transit procedure, may be transferred in full or in part to another person who fulfils the conditions related to this customs procedure.

2. The rules for the transfer of the rights and obligations of the holder of the procedure to another person shall be determined by order of the Minister of Finance of Georgia.

Article 115. Movement of goods🔗

1. Goods placed under a special procedure shall be moved in accordance with the rules established by Article 118 of this Code.

2. In the cases determined by order of the Minister of Finance of Georgia, goods placed under a special procedure may be moved between different places located in the customs territory of Georgia under different conditions established by the same order.

3. Paragraph 2 of this Article shall not apply to the movement of goods placed under the transit or free zone procedure.

Article 116. Permissible actions in respect of goods🔗

1. In respect of goods placed under the customs warehousing procedure, in respect of goods placed under the inward processing procedure or the outward processing procedure, before the commencement of a processing operation on the goods, as well as in respect of goods placed under the free zone procedure for the purpose of storage and/or removal, actions necessary to ensure the storage of the goods and/or to improve their commercial appearance or condition, or actions preparatory to the sale/transport of the goods, may be carried out.

2. Goods shall remain in an unchanged condition, except for changes caused by natural wear and tear, natural losses characteristic of normal storage conditions, or actions provided for by paragraph 1 of this Article.

3. The list of permissible actions in respect of goods placed under the customs warehousing, inward processing, outward processing and free zone procedures shall be determined by Order of the Minister of Finance of Georgia.

4. The Government of Georgia is entitled to establish cases different from those provided for by paragraph 1 of this Article.

Law of Georgia No. 2767 of 5 April 2023 – website, 18 April 2023.

Article 117. Equivalent goods🔗

1. Equivalent goods are Georgian goods which may be stored, used or processed in place of goods placed under a special customs procedure.

2. In the case of the outward processing procedure, equivalent goods are foreign goods which may be processed in place of Georgian goods placed under the outward processing procedure.

3. Equivalent goods shall have the same HS code at the eleven-digit level, quality and technical characteristics as the goods which they replace, except in cases determined by Order of the Minister of Finance of Georgia.

4. The customs authority, on the basis of an application of a person and provided that the proper conduct of the procedure is ensured for the purposes of customs supervision, shall issue an authorisation:

a) for the use of equivalent goods in the customs warehousing, free zone, end-use, inward processing or outward processing procedure;

b) in cases determined by Order of the Minister of Finance of Georgia, for the use of equivalent goods in the temporary admission procedure;

c) for the exportation, before the importation of the goods to be replaced, of processed products obtained from equivalent goods as a result of the processing of goods placed under the inward processing procedure;

d) for the importation, before the exportation of the goods to be replaced, of processed products obtained from equivalent goods as a result of the processing of goods placed under the outward processing procedure.

5. An authorised economic operator relating to customs simplifications shall be considered to ensure the proper conduct of the procedure if the operations to be carried out by it, in which equivalent goods are used, are indicated in the authorisation issued in accordance with subparagraph „a“ of paragraph 2 of Article 25 of this Code.

6. Authorisation for the use of equivalent goods may not be issued if:

a) in the inward processing procedure only the actions permitted in respect of goods provided for by Article 116 of this Code are used;

b) a preferential international agreement concluded by Georgia with a foreign country or a group of foreign countries provides for a prohibition of repayment of import duty or of exemption therefrom for goods not having the status of Georgian origin used for the production of such processed products obtained as a result of the processing of goods placed under the inward processing procedure, for which a certificate of origin of goods is issued or made out in accordance with the same agreement;

c) this will result in an unjustified advantage in respect of import duty or is determined by the legislation of Georgia.

7. In the case provided for by paragraph 4 of this Article, the rules and conditions for the use of equivalent goods, as well as the cases where equivalent goods are not used, shall be determined by Order of the Minister of Finance of Georgia.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 118. Application of the transit procedure🔗

1. The transit procedure allows foreign goods to be moved between two points located in the customs territory of Georgia. The application of the transit procedure does not give rise to:

a) the emergence of an obligation to pay import duty;

b) the application of a safeguard measure in trade to the goods, unless the bringing of these goods into the customs territory of Georgia or the taking of these goods out of the customs territory of Georgia is prohibited.

2. In the cases determined by order of the Minister of Finance of Georgia, Georgian goods shall be placed under the transit procedure.

3. The movement provided for by paragraph 1 of this Article may be carried out:

a) in accordance with the transit procedure;

b) in accordance with the Customs Convention on the International Transport of Goods under Cover of TIR Carnets, Geneva, 14 November 1975 (TIR Convention), if the transport begins or ends outside the customs territory of Georgia;

c) in accordance with the Customs Convention on the ATA Carnet for the Temporary Admission of Goods, Brussels, 6 December 1961 (ATA Convention) and the Convention on Temporary Admission, Istanbul, 26 June 1990;

d) if the transport, in accordance with the relevant acts of the Universal Postal Union, is a postal transport.

4. Goods transported in accordance with the transit procedure shall remain unchanged, except for changes caused by natural wear, transportation or natural losses characteristic of normal storage conditions.

Article 119. Authorised consignee of cargo🔗

In the cases determined by order of the Minister of Finance of Georgia, the customs authority may, on the basis of an application by an interested person, grant that person the right to receive, at a place agreed in advance with the customs authority, goods moved in accordance with the Customs Convention on the International Transport of Goods under Cover of TIR Carnets, Geneva, 14 November 1975 (TIR Convention), if the transport of these goods is carried out in accordance with subparagraph "d" of Article 1 of the same Convention. Where this right is granted, the interested person is the authorised consignee of the cargo.

Article 120. Obligations of the holder of the transit procedure, the carrier and the consignee of goods🔗

1. The holder of the transit procedure shall be obliged to:

a) present the goods and their accompanying documents to the customs office of destination within the established time limit and in an unchanged condition, or present them at another place determined by the customs office, without damaging the means of identification (marks);

b) unless otherwise provided by the customs legislation of Georgia, present to the customs office a guarantee whose presentation obligation may arise in connection with the goods to be transported;

c) fulfil other obligations provided by the legislation of Georgia related to the transit procedure.

2. The obligation of the holder of the transit procedure shall be fulfilled and the transit procedure shall be completed if the goods placed under this procedure and the documents related thereto have been presented, in accordance with the procedure established by the customs legislation of Georgia, to the customs office of destination or have been presented at another place determined by the customs office.

3. The carrier and the consignee of the goods, who are aware that the goods are being moved on the customs territory of Georgia on the basis of the transit procedure, shall be obliged to present the goods and their accompanying documents to the customs office within the established time limit and in an unchanged condition, or present them at another place determined by the customs office, without damaging the means of identification (marks).

Article 121. Simplified transit procedure🔗

1. The customs office may, on the basis of an application by an interested person, grant that person the right to place goods under the transit procedure under a simplified procedure and to complete the transit procedure in a simplified manner, in particular:

a) grant the status of authorised consignor, which enables him/her to place goods under the transit procedure without presenting them to the customs office;

b) grant the status of authorised consignee, which enables him/her to receive goods placed under the transit procedure at a place agreed in advance with the customs office, in order to complete the transit procedure in accordance with paragraph 2 of Article 120 of this Code;

c) grant the right to use a special means of customs identification, if the customs legislation of Georgia requires marking of goods placed under the transit procedure by using a means of customs identification;

d) provide the possibility to place goods under the transit procedure by a simplified customs declaration;

e) provide the possibility to present, instead of a customs declaration, an electronic transport document, if it contains the data of the customs declaration and these data are available to the customs office of dispatch and the customs office of destination, so that they may ensure the exercise of customs supervision over the goods and the completion of the transit procedure.

2. The rules for placing goods under the transit procedure and for completing this procedure, as well as the rules and conditions for using the simplified transit procedure, shall be determined by an Order of the Minister of Finance of Georgia.

Article 122. Application of the customs warehouse procedure🔗

1. The customs warehouse procedure allows foreign goods to be stored in a customs warehouse, in the warehouse of the customs authority or in another place of storage, which does not entail:

a) the emergence of an obligation to pay import duty;

b) the application of a protective measure in trade with respect to the goods, if the importation of these goods into the customs territory of Georgia or their exportation from the customs territory of Georgia is not prohibited.

2. Goods damaged or spoiled as a result of force majeure in a customs warehouse, in the warehouse of the customs authority or in another place of storage shall be placed under the customs procedure in the same manner as goods existing in that form would be placed.

3. In accordance with the procedure established by order of the Minister of Finance of Georgia, Georgian goods may be placed under the customs warehouse procedure in the cases provided for by the legislation of Georgia or for the purpose of refunding the import tax paid on these goods.

Article 123. Time limit of the customs warehouse procedure🔗

1. The storage period of goods placed under the customs warehouse procedure shall not exceed 2 years. The declarant may extend this period an unlimited number of times, provided that each extended period does not exceed 2 years.

2. In a special case, the customs authority may set the time limit for completion of the customs warehouse procedure for goods whose long-term storage, given their type and characteristics, may pose a threat to human or animal health, plants or the environment.

Article 124. Customs warehouse, warehouse of the customs authority and other place of storage of goods🔗

1. In a customs warehouse it is possible:

a) to store goods placed under the customs warehouse procedure;

b) temporary storage of goods;

c) temporary storage of goods and/or means of transport under customs control.

2. Transfer of the right of ownership to goods stored in a customs warehouse shall be permitted.

3. In the warehouse of the customs authority, besides goods placed under the customs warehouse procedure, other goods subject to customs supervision may also be placed.

4. Other places of storage of goods placed under the customs warehouse procedure and cases of their storage shall be determined by order of the Minister of Finance of Georgia.

Article 125. Authorisation for the activity of a customs warehouse🔗

1. The activity of a customs warehouse shall be carried out on the basis of an authorisation issued by the customs authority, except where the customs authority itself carries out the activity of a customs warehouse.

2. The authorisation for the activity of a customs warehouse shall be issued to a person established in Georgia. Transfer of this authorisation to another person shall be prohibited.

3. The conditions to be met in order to obtain the authorisation for the activity of a customs warehouse shall be determined in accordance with the Law of Georgia "On Licences and Permits".

4. In order to obtain the authorisation for the activity of a customs warehouse, the applicant for the authorisation shall submit to the customs authority a guarantee in the amount determined by order of the Minister of Finance of Georgia.

5. The procedure and conditions for issuing the authorisation for the activity of a customs warehouse shall be determined by a Resolution of the Government of Georgia.

Article 126. Placing of Goods in a Customs Warehouse without Placing under the Customs Warehousing Procedure🔗

1. Based on economic interests, with the consent of the customs authority, if this does not adversely affect the exercise of customs supervision, it shall be possible:

a) for Georgian goods to be stored in a customs warehouse;

b) for goods placed under the inward processing procedure or the end-use procedure to be processed in a customs warehouse in compliance with the conditions laid down by this procedure and, for the relevant cases, the special norms of the customs legislation of Georgia.

2. In the cases provided for by paragraph 1 of this Article, goods shall not be considered as placed under the customs warehousing procedure.

Article 127. Obligations of the Holder of a Customs Warehouse and the Holder of the Customs Warehousing Procedure🔗

1. The holder of a customs warehouse and the holder of the customs warehousing procedure shall be obliged to:

a) not allow goods placed in the customs warehouse to be removed from customs supervision without agreement with the customs authority;

b) comply with the requirements arising from the storage of goods placed under the customs warehousing procedure.

2. The holder of the customs warehousing procedure shall be obliged to comply with the requirements related to the placing of goods under the customs warehousing procedure.

3. The holder of a customs warehouse shall be obliged to comply with the authorisation conditions laid down by the authorisation for the operation of the customs warehouse.

Article 128. Essence of a Free Zone🔗

A free zone allows its territory to be used for the permitted activities provided for by Article 132 of this Code. In a free zone:

a) for the purposes of payment of import duty and the application of protective measures in trade, the entry of foreign goods shall not be considered as placing goods under the release for free circulation procedure and, accordingly, import duty shall not be collected on these goods;

b) when Georgian goods are placed, the norms of the customs legislation of Georgia that apply when similar goods are placed under the export procedure shall apply (including that Georgian goods are assigned the status of foreign goods).

Article 129. Establishment of a Free Zone🔗

1. A free zone is a specially designated part of the customs territory of Georgia.

2. On the basis of an application by an interested person and the submission of an appropriate guarantee, the Government of Georgia shall adopt a decision on the establishment of a free zone.

3. The construction of any building or structure in a free zone shall be agreed in advance with the customs authority.

4. A free zone shall be surrounded by a special fence and the entrance and/or exit to the free zone shall be determined.

5. The conditions for the establishment of a free zone, the amount of the guarantee to be submitted for its establishment, and the rules for the functioning of the free zone, the storage of goods therein and the exercise of customs control shall be determined by a Resolution of the Government of Georgia.

Article 130. Time limit of the free zone procedure🔗

1. Goods may be placed under the free zone procedure for an unlimited period.

2. In a special case, the customs authority may set a time limit for completion of the free zone procedure for goods whose long-term storage, given their type and nature, may pose a threat to human or animal health, plants or the environment.

Article 131. Exercise of customs control in a free zone🔗

1. The customs authority shall control the entrance to and the exit from the free zone and the perimeter of the free zone.

2. The customs authority shall be entitled to:

a) control the entry of a person, goods and/or a means of transport into the free zone/exit from the free zone;

b) prohibit the entry into the free zone and the activity of a person who is unable to ensure the proper fulfilment of the requirements established by the customs legislation of Georgia;

c) request copies of the documents for goods located in the free zone;

d) inspect, where necessary, goods stored in the free zone.

Article 132. Activities permitted in a free zone🔗

1. The bringing in, storage, processing, supply of any goods in the free zone and/or the provision of services shall be permitted, as well as the taking out of any goods from the free zone, unless otherwise provided by this Article.

2. The following shall be prohibited in a free zone:

a) production of weapons and ammunition, trade in weapons and ammunition;

b) production of nuclear and radioactive substances, trade in nuclear and radioactive substances;

c) bringing in, storage, production and/or sale of narcotic drugs and psychotropic substances;

d) bringing in (except in the case provided for by paragraph 3 of this Article), storage, production and/or sale of tobacco products and/or raw tobacco.

3. The bringing into the free zone of the goods provided for by subparagraph „d“ of paragraph 2 of this Article shall be permitted for on-site consumption. Their bringing in shall not be considered export of goods.

4. Prohibitions or restrictions may be imposed by a Resolution of the Government of Georgia on activities permitted in a free zone.

Article 133. Presentation and declaration of goods in a free zone🔗

1. Only a simplified customs declaration shall be presented to the customs authority for goods to be brought into the free zone, unless otherwise provided by this Code.

2. Goods to be brought into the free zone shall be subject to presentation to the customs authority and to the performance of customs formalities if:

a) they were placed under another customs procedure which was completed by bringing the goods into the free zone. At the same time, presentation of the goods to the customs authority shall not be mandatory if the customs legislation of Georgia governing this customs procedure provides for exemption from the obligation to present the goods to the customs authority;

b) they were brought into the free zone on the basis of a decision on repayment of import tax or exemption from its payment;

c) the measures provided for placing similar goods under the export procedure apply to them.

Article 134. Conditions for the removal of goods from a free zone and the customs status of goods removed from a free zone🔗

1. Unless otherwise provided by Georgian legislation, goods to be removed from a free zone may:

a) be removed from the customs territory of Georgia under the export procedure or be re-exported;

b) be removed to another place in the customs territory of Georgia.

2. Articles 70–78 of this Code apply to goods removed from a free zone to another place in the customs territory of Georgia.

Article 135. Customs status of goods🔗

1. If goods are brought from a free zone to another place in the customs territory of Georgia, they shall be considered foreign goods until their status as Georgian goods is confirmed.

2. If goods are taken out from a free zone outside the customs territory of Georgia, for the purpose of implementing the measures provided for by Georgian legislation in connection with the export of goods, these goods shall be considered Georgian goods, unless it is confirmed that they do not have the status of Georgian goods.

Article 136. Termination of the activity of a free zone🔗

The activity of a free zone shall be terminated:

a) upon expiry of the term of this activity;

b) on the basis of an application of the owner of the free zone;

c) by a court judgment on the basis of a petition of the Government of Georgia, if the free zone no longer complies with the requirements established by Georgian legislation or these requirements are not fulfilled.

Article 137. Application of the temporary importation procedure🔗

1. Through the application of the temporary importation procedure, foreign goods may be brought into the customs territory of Georgia for use, subject to re-export, which does not entail the application of a trade defence measure in respect of the goods, unless the bringing of these goods into the customs territory of Georgia or their removal from the customs territory of Georgia is prohibited.

2. Upon temporary importation, goods shall be fully or partially exempted from import tax.

3. The list of goods fully exempted from import tax, as well as the list of goods whose temporary importation is prohibited, shall be determined by an Order of the Minister of Finance of Georgia.

4. Only those foreign goods which are not included in the list of goods fully exempted from import tax may be placed under the temporary importation procedure with partial exemption from import tax.

5. Goods to be placed under the temporary importation procedure shall remain in the ownership of a person established outside the customs territory of Georgia.

6. Unless otherwise provided by Georgian customs legislation, the holder of the temporary importation procedure shall be a person established outside the customs territory of Georgia.

Article 138. Conditions for the application of the temporary import procedure🔗

For placing goods under the temporary import procedure, the following is necessary:

a) there shall be the possibility of reliable identification of the goods, except in the case where:

a.a) the impossibility of identifying the goods, taking into account their characteristics and the purpose of use, does not result in a breach of the conditions of this procedure;

a.b) in the case provided for by Article 117 of this Code, it is possible to verify compliance with the conditions relating to equivalent goods;

b) a guarantee shall be provided, except in the case determined by an Order of the Minister of Finance of Georgia;

c) temporarily imported goods shall be exported back in an unchanged condition, except for changes caused by operation, transportation or natural losses characteristic of normal conditions of storage;

d) the requirements established by the customs legislation of Georgia for full or partial exemption of goods from import tax shall be fulfilled.

Article 139. Time limits for temporary import of goods🔗

1. The declarant shall determine the period during which goods placed under the temporary import procedure must be placed under another customs procedure or their re-export must be carried out.

2. Unless otherwise provided by this Code, the holder of one authorisation may place goods under the temporary import procedure for no more than 3 years. If the holder of one authorisation completes the temporary import procedure by placing the goods under another special procedure and then these goods are again placed under the temporary import procedure, the total period for placing the goods under the temporary import procedure shall not exceed 3 years.

3. In a special case, the customs authority shall be entitled, on the basis of a reasoned application of the authorisation holder, to extend the period determined by the declarant in accordance with paragraph 1 of this Article and/or the 3-year period established by paragraph 2 of this Article.

4. The total period for placing goods under the temporary import procedure shall not exceed 10 years, except in the case determined by an Order of the Minister of Finance of Georgia.

Article 140. Amount of import tax on goods temporarily imported with partial exemption🔗

1. Goods temporarily imported with partial exemption from import tax shall be taxed, for each full and incomplete calendar month of their presence in the customs territory of Georgia from the day of registration of the customs declaration, at 3 percent of the amount of import tax that would be payable on the day of registration of the customs declaration for temporary importation upon release of these goods into free circulation. The said amount shall be paid no later than the 15th day of the month following each month of the goods' presence in the customs territory of Georgia, and the last payment shall be made on the day of completion of the temporary importation procedure. The declarant has the right to pay the amount due in a lump sum within the period established by this paragraph.

2. The total amount of the payable sums provided for by paragraph 1 of this Article (excluding penalty interest) shall not exceed the amount of import tax that would be payable on the day of registration of the customs declaration for temporary importation upon release of the relevant goods into free circulation.

Article 141. Application of the end-use procedure🔗

1. Under the end-use procedure, goods, taking into account their special use, may be released for free circulation subject to exemption from import duty.

2. If goods are at a stage of production that ensures only the possibility of their final consumption, the customs authority may specify in the authorisation the conditions upon fulfilment of which the goods shall be considered to have been used for the end purpose for which they were exempted from import duty.

3. If repeated use of goods imported for end use is possible and the customs authority considers it necessary, in order to prevent violation of the legislation of Georgia, to continue customs supervision over them, it shall be continued for no more than 3 years from the date of first use of the goods for the end purpose. The list of goods in respect of which customs supervision is not terminated after expiry of the period established by this paragraph shall be determined by order of the Minister of Finance of Georgia.

4. It shall be prohibited, without the consent of the customs authority, to alienate, pledge, lend to another person or transfer for use, or otherwise use goods imported for end use that are subject to customs supervision.

5. If goods imported for end use that are subject to customs supervision are destroyed or damaged, the holder of the goods shall immediately notify the relevant customs authority thereof and submit reliable evidence of the destruction or damage of the goods, certified by an authorised person. Otherwise, the goods shall be considered unlawfully disposed of.

6. Customs supervision shall be terminated if:

a) the condition for use of the goods for the end purpose has been fulfilled;

b) the goods have been declared for the export procedure;

c) with the consent of the customs authority, the goods have been used for another purpose and the corresponding amount of import duty has been paid;

d) the goods have been disposed of in accordance with Chapter XV of this Code.

7. If goods imported for end use are alienated to a person who uses them for the end purpose for which, when the goods were placed under the release for free circulation procedure, relief from import duty would have been applied, the said relief shall again apply to these goods and they shall remain under customs supervision for the new end purpose.

8. Where necessary, the yield norm provided for by Article 143 of this Code shall apply under the end-use procedure.

9. Waste and/or scrap resulting from the use or processing of goods imported for end use shall, taking into account their end purpose and natural losses, be considered goods to be used for the same purpose.

10. Waste and/or scrap resulting from the destruction of goods imported for end use shall be considered as placed under the customs warehousing procedure.

11. The rules and conditions for placing goods under the end-use procedure and for completing this procedure shall be determined by order of the Minister of Finance of Georgia.

Article 142. Application of the Inward Processing Procedure🔗

1. Subject to Article 117 of this Code, under the inward processing procedure, one or more processing operations may be applied to foreign goods, which does not result in:

a) the incurrence of an obligation to pay import duty;

b) the application of a trade defence measure to the goods, if the importation of these goods into the customs territory of Georgia or their exportation from the customs territory of Georgia is not prohibited.

2. Except for repair of goods and destruction of goods, in other cases the inward processing procedure shall be applied if there is a possibility of identifying the goods placed under this procedure (except for goods provided for by subparagraph „aa.e“ of the first paragraph of Article 6 of this Code) in the processed products. In the case provided for by Article 117 of this Code, there shall be a possibility of verifying compliance with the conditions relating to the equivalent goods used.

3. In addition to the cases provided for by paragraphs 1 and 2 of this Article, the inward processing procedure may also be applied:

a) for the purpose of release of goods for free circulation, in order to carry out an operation to establish their compliance with technical requirements;

b) in respect of goods in respect of which the actions provided for by Article 116 of this Code are to be carried out.

Article 143. Rate of Yield🔗

1. If a standard rate of yield is not established by the legislation of Georgia, when applying the inward processing procedure the declarant shall agree with the customs authority on the rate of yield or the average rate of yield or, where necessary, the method of its calculation.

2. When agreeing on the rate of yield, the customs authority may require the conclusion of an authorised person.

3. The rate of yield or the average rate of yield shall be determined on the basis of the factual circumstances in which the processing process is or will be carried out. Where necessary, this rate may be changed in accordance with Article 19 of this Code.

Article 144. Identification of goods to be placed under inward processing procedure🔗

1. For identification of goods to be placed under inward processing procedure, the following means shall be used:

a) marking of goods with a stamp or digital or other marking;

b) detailed description of goods, photographing or scale representation;

c) examination or analysis of a sample and/or specimen of goods for the purpose of subsequent comparison of its results;

d) serial numbers or other marking affixed on goods by the manufacturer;

e) a document confirming the performance of processing operations in respect of goods placed under inward processing procedure;

f) other means of identification which provide for the use of modern technologies.

2. The customs authority shall be entitled to choose one or several means provided for by paragraph 1 of this Article that are acceptable to it.

3. At the request of the holder of the authorisation for the inward processing procedure and with the consent of the customs authority, identification of goods may be ensured by examining detailed data submitted on the raw materials, materials and components used in the processing operation of the goods, as well as on the technology of production of the processed products.

Article 145. Conditions for the use of the inward processing procedure🔗

For the use of the inward processing procedure, it is necessary that:

a) restoration of the processed products to their original state is not economically profitable;

b) the declarant submits substantiated data:

b.a) on the person directly performing the processing operation of the goods;

b.b) on the description, quality and quantity of the goods to be placed under the inward processing procedure, the processed products, the balance and the waste;

b.c) on the processing operations of the goods, the time limits and means for their performance;

b.d) on the means of identification of unprocessed goods in the processed products;

c) the rate of yield is agreed with the customs authority;

d) the declarant submits a guarantee corresponding to the security for payment of import duty in respect of goods to be placed under the inward processing procedure, except for the case determined by the Minister of Finance of Georgia.

Article 146. Time limit for the inward processing procedure🔗

1. The customs authority shall determine the time limit within which the inward processing procedure must be completed. This time limit shall be determined taking into account the duration of the inward processing procedure and the time required for its completion.

2. The time limit for the processing of goods shall be counted from the day of placing the goods under the inward processing procedure, and where the goods are placed under this procedure in separate consignments of goods – from the day of placing the first consignment of goods thereunder.

3. The pre-determined time limit may be extended on the basis of a reasoned application of the declarant.

4. Where, in accordance with subparagraph „c“ of paragraph 4 of Article 117 of this Code, prior export of processed products is carried out, the customs authority shall determine the time limit within which the declaration of foreign goods under the inward processing procedure must be carried out. This time limit shall not exceed 6 months. When determining this time limit, the time required for the purchase of the foreign goods and their transportation to the customs territory of Georgia shall be taken into account. The said time limit shall be counted from the day of registration of the export customs declaration related to the removal from the customs territory of Georgia of the processed products obtained from the respective equivalent goods.

5. The customs authority may, on the basis of an application of the holder of the authorisation for the inward processing procedure, extend the time limit determined in accordance with paragraph 4 of this Article by not more than 12 months, if this application is submitted before the expiry of the same time limit.

6. By order of the Minister of Finance of Georgia, specific time limits may be established for an operation related to the processing of goods or for the processing of individual goods.

Article 147. Processing of goods outside the customs territory of Georgia🔗

Goods placed under the inward processing procedure, processed products and/or their component parts may, in agreement with the customs authority, be temporarily removed outside the customs territory of Georgia for processing, provided that they are returned before the expiry of the time limit determined in accordance with paragraphs 1, 2 and 3 of Article 146 of this Code. In this case, the rules and conditions established for the outward processing procedure shall apply in respect of the goods to be removed.

Article 148. Use of the outward processing procedure🔗

1. With the use of the outward processing procedure, one or more processing operations may be applied to Georgian goods temporarily exported from the customs territory of Georgia. Upon importation of the processed products into the customs territory of Georgia, they may be released for free circulation by the holder of the authorisation for the outward processing procedure or by a person established in Georgia, with full or partial exemption from import tax, if the latter has the relevant consent of the holder of the authorisation for the outward processing procedure and all conditions for the use of the outward processing procedure have been fulfilled.

2. Upon export of Georgian goods placed under the outward processing procedure, the customs formalities provided for the export of Georgian goods from the customs territory of Georgia shall be carried out, and upon importation of the processed products into the customs territory of Georgia, the customs formalities provided for the importation of goods into the customs territory of Georgia shall be carried out.

3. For the purposes of this Chapter, with regard to the rate of yield, Article 143 of this Code shall apply, and for the identification of goods to be placed under the outward processing procedure, Article 144 of this Code shall apply.

Article 149. Restrictions related to the use of the outward processing procedure🔗

1. The outward processing procedure may not be applied to Georgian goods if:

a) its export would result in the refund or set-off of import tax paid on these goods;

b) it was, before export, released for free circulation under the end-use procedure subject to exemption from import tax, and the condition for the application of this relief is in effect, except where these goods are exported for repair.

2. Exceptions to the restrictions established by paragraph 1 of this Article shall be determined by an Order of the Minister of Finance of Georgia.

Article 150. Conditions for the use of the outward processing procedure🔗

For the use of the outward processing procedure it is necessary:

a) that there be the possibility of identification in the processed products of the goods placed under the outward processing procedure, except:

a.a) goods provided for by subparagraph „aa.e“ of paragraph 1 of Article 6 of this Code;

a.b) the case where the processed products are replaced by replacement goods provided for by Article 153 of this Code;

a.c) the case provided for by Article 117 of this Code, if there is the possibility of verifying compliance with the conditions relating to the equivalent goods used;

b) that the restoration of the processed products to their original state is not economically profitable;

c) that the declarant submit substantiated data:

c.a) concerning the person who directly carries out the goods processing operation;

c.b) concerning the description, quality and quantity of the goods to be placed under the outward processing procedure, the processed products, the balance and the waste;

c.c) concerning the processing operations, the time limits and means for their performance;

c.d) concerning the means of identification of unprocessed goods in the processed products;

d) that the rate of yield be agreed with the customs authority.

Article 151. Time limit of the outward processing procedure🔗

1. The customs authority shall determine the time limit within which the processed products must be brought into the customs territory of Georgia or disposed of in accordance with paragraph 4 of Article 158 of this Code. This time limit shall be determined taking into account the duration of the outward processing procedure and the time required to complete it.

2. The time limit for the processing of goods shall be counted from the day of placing the goods under the outward processing procedure, and where the goods are placed under this procedure in separate consignments of goods, from the day of placing the first consignment of goods thereunder.

3. The time limit determined in accordance with paragraph 1 of this Article may be extended on the basis of a reasoned application of the declarant.

4. By order of the Minister of Finance of Georgia, specific time limits may be established for an operation related to the processing of goods or for the processing of individual goods.

Article 152. Free-of-charge repair of goods placed under the outward processing procedure🔗

1. If the declarant confirms that the goods placed under the outward processing procedure were processed free of charge, arising from a contractual or warranty obligation or due to a manufacturing defect, the processed products, upon being brought into the customs territory of Georgia, shall be released for free circulation with full exemption from import duty.

2. The relief provided for by paragraph 1 of this Article shall not apply upon the bringing of the processed products into the customs territory of Georgia if, before the placing of the goods under the outward processing procedure, the manufacturing defect was taken into account when they were initially released for free circulation.

Article 153. Standard exchange system🔗

1. The standard exchange system allows the processed products to be obtained as a result of the processing of goods placed under the outward processing procedure to be replaced by foreign goods (hereinafter – replacement goods) in accordance with paragraphs 2–6 of this Article.

2. The customs authority, on the basis of a motivated application of the declarant, adopts a decision on the use of the standard exchange system for the repair of defective goods.

3. Replacement goods shall have the same HS code at the eleven-digit level, quality and technical characteristics as the defective goods to be repaired.

4. If the defective goods were used before being taken out of the customs territory of Georgia, the replacement goods shall also be used (second-hand).

5. The customs authority may allow an exception to the requirement established by paragraph 4 of this Article if the replacement goods were supplied free of charge due to a manufacturing defect, under a contractual or warranty obligation.

6. The provisions of this Chapter relating to processed products obtained as a result of the processing of goods placed under the outward processing procedure shall also apply to replacement goods.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 154. Prior importation of replacement goods🔗

1. The customs authority is entitled, on the basis of an application of an interested person, to grant that person the right to import replacement goods in accordance with the established conditions before the defective goods are taken out. In this case, the applicant shall submit a guarantee in the appropriate amount.

2. The defective goods shall be taken out of the customs territory of Georgia within 2 months. This period shall be counted from the day of registration of the customs declaration for release of the replacement goods into free circulation.

3. In a special case, if it is impossible to take out the defective goods within the period established by paragraph 2 of this Article, the customs authority is entitled, on the basis of a motivated application of the holder of the authorisation for the outward processing procedure, to extend this period to a reasonable period.

Article 155. Measures to be implemented before the export of goods🔗

1. For goods to be exported from the customs territory of Georgia, a general declaration for the export of goods shall be submitted to the customs authority. The general declaration shall be submitted before the export of the goods from the customs territory of Georgia.

2. The following shall not be subject to general declaration:

a) goods moved across the customs border of Georgia by pipeline or power transmission line;

b) air or sea means of transport and goods moved by this means of transport through the territorial waters of Georgia or the airspace of Georgia without stopping;

c) goods to be exported from the customs territory of Georgia for which a customs declaration has been submitted;

d) goods for which a re-export declaration has been submitted;

e) goods determined by Order of the Minister of Finance of Georgia.

3. At the customs checkpoint, on the basis of the general declaration for the export of goods or the notification provided for by paragraph 6 of this Article, the time limit for risk analysis for the purposes of security and safety shall be determined by Order of the Minister of Finance of Georgia. On the basis of the results of the risk analysis, appropriate measures shall be taken.

4. The general declaration for the export of goods shall be submitted by the carrier. Notwithstanding the carrier's obligation, the general declaration for the export of goods may be submitted by the exporter, the consignor, or another person on whose instruction the carrier acts, or any other person who is able to present these goods at the customs checkpoint or who has presented them at the said checkpoint.

5. The customs authority may allow the use of a commercial, port or transport information system for completing the general declaration for the export of goods, if this system contains the data required for this declaration and these data are available within the period established for the submission of the said declaration.

6. The customs authority may allow, instead of the general declaration for the export of goods, the submission of a notification and, accordingly, access to the relevant data related to the general declaration in the computer system of the person carrying out the general declaration.

7. The procedure and time limit for the submission of the general declaration for the export of goods, and the cases when the general declaration for the export of goods is not submitted, shall be determined by Order of the Minister of Finance of Georgia.

Article 156. Amendment of the general declaration for export of goods or its invalidation🔗

1. The customs authority may, on the basis of the declarant’s application, grant the declarant the right to amend the general declaration for export of the presented goods.

2. Amendment of the general declaration for export of goods shall not be permitted if:

a) the customs authority has notified the submitter of the general declaration for export of goods of its intention to inspect the goods declared by this declaration;

b) the customs authority has established inaccuracy or incompleteness of the declared data;

c) the customs authority has released the goods.

3. If the goods declared by the general declaration for export of goods have not been exported from the customs territory of Georgia, the customs authority shall declare this declaration invalid:

a) immediately upon submission of the relevant application by the declarant;

b) after the expiry of 150 days from the submission of this declaration.

4. The rules for amendment of the general declaration for export of goods and its invalidation shall be determined by an Order of the Minister of Finance of Georgia.

Article 157. Measures to be implemented upon export of goods🔗

1. Goods to be exported from the customs territory of Georgia shall be subject to customs supervision and may be subject to customs control procedures. Where necessary, the customs authority may determine the route along which the goods to be exported must move and the time limit within which these goods must be exported.

2. Goods to be exported from the customs territory of Georgia shall be presented to the customs authority by:

a) the person who exports the goods from the customs territory of Georgia;

b) the person who acts in the name of or on the instruction of the person exporting the goods from the customs territory of Georgia;

c) the person who, before the export of the goods from the customs territory of Georgia, assumed responsibility for their transportation.

3. Goods to be exported from the customs territory of Georgia shall, in cases provided for by the legislation of Georgia, be subject to:

a) refund or offset of import tax;

b) customs formalities related to the payment of other charges provided for by the legislation of Georgia;

c) such prohibitions and restrictions as are based, among other things, on the necessity of protecting public security, national interests and public morality, protecting human or animal health or plant health and life, protecting national treasures constituting works of art and having historical and archaeological value, and protecting property used in economic activity, including control of precursors, psychotropic substances and psychoactive substances, goods produced through possible infringement of intellectual property rights, and monetary funds;

d) fisheries conservation and management measures and trade protective measures.

4. The customs authority shall release goods to be exported from the customs territory of Georgia if, upon export from the customs territory of Georgia, these goods are in the same condition as they were on the day of registration of the customs declaration, re-export declaration or general declaration of export of goods, except for changes caused by natural wear and tear, transportation or natural losses characteristic of normal storage conditions.

5. The procedure for the export of goods from the customs territory of Georgia and the customs formalities to be implemented upon their export shall be determined by an order of the Minister of Finance of Georgia.

Article 158. Use of the export procedure🔗

1. Unless otherwise provided by Georgian legislation, the export procedure allows Georgian goods to be taken out of the customs territory of Georgia (including temporarily, subject to return), in which case trade protection measures are applied.

2. Georgian goods leaving the customs territory of Georgia shall be placed under the export procedure, except:

a) goods placed under the outward processing procedure;

b) goods taken out of the customs territory of Georgia which, prior to being taken out, were placed under the end-use procedure;

c) goods supplied on board for international air flights and international sea voyages, which are exempt from value added tax and excise, and in addition, such supply is subject to the reporting provided for by Georgian legislation.

3. The customs formalities related to the export customs declaration apply to the cases provided for by subparagraphs "a"–"c" of paragraph 2 of this Article.

4. Without presenting the goods to the customs authority, the export procedure may be applied before the expiry of the processing period of goods placed under the outward processing procedure, if the declarant submits to the customs authority a document on the disposal of these goods.

5. The cases and conditions where the obligation to submit an export customs declaration does not arise when Georgian goods are taken out of the customs territory of Georgia shall be determined by an Order of the Minister of Finance of Georgia.

Article 159. Conditions for completion of the export procedure🔗

1. The export procedure shall be completed if, when taken out of the customs territory of Georgia, the goods are in the same condition as they were on the day of registration of the export customs declaration, except for changes caused by natural wear, transportation or natural losses characteristic of normal storage conditions.

2. Goods in respect of which an export customs declaration has been submitted shall be taken out of the customs territory of Georgia within the period established by an Order of the Minister of Finance of Georgia, and in the case provided for by paragraph 4 of Article 78 of this Code – within 120 days from the registration of the customs declaration. In the event of violation of this period, the declarant shall, within 5 days, submit to the customs authority an application for declaring the customs declaration invalid or an application for extending the period established for taking out the goods by 10 days.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 160. Use of Re-export🔗

1. Re-export allows foreign goods brought into the customs territory of Georgia to be taken out of the customs territory of Georgia.

2. When foreign goods are taken out of the customs territory of Georgia, a re-export declaration shall be submitted to the customs authority, except when:

a) goods placed under the transit procedure are moved between foreign countries or to the territory of a foreign country through the territory of Georgia;

b) goods are re-exported directly from a free zone outside the customs territory of Georgia;

c) temporarily stored goods are taken out directly from the place of storage outside the customs territory of Georgia.

3. If it is established that goods released for free circulation have a defect or their quantity, quality, packaging or description does not comply with the terms of the foreign-economic transaction and for this reason they are returned to the supplier or another person designated by the supplier, these goods may be subject to re-export. In this case:

a) if the re-export of the entire quantity of goods released for free circulation is carried out, the customs declaration for the release of the goods for free circulation shall be declared invalid and the goods released for free circulation shall be deprived of the status of Georgian goods;

b) if the re-export of part of the goods released for free circulation is carried out, an appropriate amendment shall be made to the customs declaration for the release of the goods for free circulation and the part of the goods released for free circulation intended for re-export shall be deprived of the status of Georgian goods.

4. In the case provided for by paragraph 3 of this Article:

a) upon release of goods for free circulation, the amount of import duty paid on these goods (except for the amount for which the person has received a credit) shall be subject to refund or offset against future tax/customs obligations;

b) the customs authority, on the basis of an application by the interested person, shall grant the right to place the goods under the inward processing procedure (including for the purpose of destruction) or under the transit, customs warehousing or free zone procedure.

5. When re-export is carried out, the goods must remain unchanged, except for changes caused by natural wear and tear, transportation or natural losses characteristic of normal storage conditions.

6. Articles 82–101 of this Code shall apply to the re-export declaration.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 161. Submission of the re-export notification🔗

1. If the goods provided for by subparagraphs „b“ and „c“ of paragraph 2 of Article 160 of this Code are taken out of the customs territory of Georgia and there is no obligation to submit a general declaration for the export of goods, the person provided for by paragraph 2 of Article 157 of this Code shall submit a re-export notification to the customs authority.

2. The re-export notification shall contain the data necessary for the free zone procedure or for the completion of temporary storage.

3. The customs authority may allow the use of a commercial, port or transport information system for filling in the re-export notification, if this system contains the data required for this notification and this data is available before the export of the relevant goods from the customs territory of Georgia.

4. The customs authority may allow, instead of the re-export notification, the submission of a notification and, accordingly, access to the relevant data related to the re-export notification in the computer system of the person submitting the re-export notification.

5. The rule and time limit for submitting the re-export notification to the customs authority, and the cases when the re-export notification is not submitted, shall be determined by Order of the Minister of Finance of Georgia.

Article 162. Amendment of the re-export notification or declaring it invalid🔗

1. The customs authority may, on the basis of the declarant's application, grant the declarant the right to amend the submitted re-export notification.

2. Amendment of the re-export notification shall not be permitted if:

a) the customs authority has notified the submitter of the re-export notification of its intention to inspect the goods declared by this notification;

b) the customs authority has established the inaccuracy or incompleteness of the submitted data;

c) the customs authority has released the goods.

3. If the goods declared by the re-export notification have not been taken out of the customs territory of Georgia, the customs authority shall declare this notification invalid:

a) immediately upon submission of the relevant application by the declarant;

b) after 150 days from the submission of this notification.

4. The rules for amending the re-export notification and declaring it invalid shall be determined by Order of the Minister of Finance of Georgia.

Article 163. Customs offence. General principles of liability🔗

1. A customs offence is an unlawful act (action or omission) of a person, for the commission of which liability is provided by this Code.

2. A customs sanction is a measure of liability imposed for the commission of a customs offence.

3. A customs sanction is applied in the form of a warning, a fine, or the gratuitous confiscation of the goods and/or means of transport of the customs offence.

4. Liability for the commission of a customs offence shall be borne by the person committing the respective act.

5. If there is more than one offender, they shall bear the liability provided by this Code jointly and severally.

6. A person may not be held liable repeatedly for the commission of one and the same customs offence.

7. When several customs offences are detected, a customs sanction shall be applied separately for each customs offence. At the same time, a stricter customs sanction shall not absorb a less strict customs sanction.

8. A person shall be held liable for the commission of an offence provided by this Code if he/she has not been held criminally liable for the said act in accordance with the legislation of Georgia.

9. A customs offence shall be considered as committed repeatedly if the same act was committed within 12 months from the detection of the previous customs offence. At the same time, a customs offence provided by this Code shall not be considered as committed repeatedly if the said customs offences were committed on one and the same day.

10. When imposing a customs sanction for the commission of a customs offence or when taking a decision on a dispute, if:

a) the measure of liability has been abolished or mitigated by law, the law in force shall be applied for this offence;

b) the measure of liability has been introduced or aggravated by law, the law in force at the moment of the commission of the respective act shall be applied for this offence;

c) from the commission of the customs offence until the imposition of a customs sanction for this act or the taking of a decision on the dispute, the measure of liability for the commission of this customs offence has been changed several times, the most lenient measure of liability shall be applied.

11. The customs authority/the dispute-reviewing authority or the court shall have the right to release a person from the customs sanction provided by this Code if the respective customs offence was committed by mistake/unknowingly.

12. A person shall not be held liable for the commission of a customs offence if this customs offence is caused by the operation of force majeure.

12¹. A person shall not be held liable for the commission of a customs offence in the case provided by paragraph 4 of Article 70 of this Code, if the owner of the goods has submitted to the customs authority reliable evidence of the destruction of the goods under customs supervision in accordance with the procedure established by order of the Minister of Finance of Georgia.

13. A person shall not be held liable under this Code for entering incorrect data in a customs declaration/re-export declaration if:

a) an amendment was made to the customs declaration/re-export declaration in accordance with paragraph 1 of Article 90 of this Code;

b) the customs value of undeclared goods discovered during an inspection before the release of the goods (except for goods moved covertly, goods provided for by paragraphs 4 and 5 of Article 168 of this Code, and cash and securities provided for by Article 169 of the same Code) does not exceed GEL 15,000 and does not exceed 5 per cent of the declared customs value;

c) the customs offence provided for by Article 173 of this Code was detected before the release of the goods.

14. When measures for the disposal of goods are implemented in accordance with this Code, a person shall not be imposed with the fine provided for by Articles 165, 167 (except paragraph 2) and 171 of this Code, and the fine imposed shall be considered enforced.

15. For the commission of the customs offence provided for by Article 165 of this Code (except where this act is committed repeatedly) or for the commission of a customs offence provided for by paragraph 3 of Article 167, paragraph 3 of Article 168, paragraph 1 of Article 170, Article 172, paragraph 1 of Article 177 or paragraph 3 of Article 178 of the same Code, a warning may be applied instead of a fine.

16. The limitation period for the imposition of a customs sanction provided for by this Code for the commission of a customs offence is 3 years. This period shall not apply in the case provided for by paragraph 3 of Article 141 of this Code.

17. The period established by paragraph 16 of this Article shall be counted from the end of the calendar year corresponding to the commission of the customs offence.

17¹. In the case provided for by subparagraph „a“ of paragraph 5 of Article 164 of this Code, the limitation period for the imposition of a customs sanction determined by the same Code for the commission of a customs offence shall be suspended and shall resume from the day of delivery to the customs authority of the relevant decision of the investigative body or the court.

18. In order to secure the collection of an imposed customs sanction, the measures for securing the collection of tax arrears provided for by the Tax Code of Georgia shall be applied.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 164. Proceedings in a case of customs offence🔗

1. A case of customs offence shall be conducted by the customs authority.

2. Upon detection of a customs offence, an authorised person of the customs authority shall draw up a record of the customs offence, which shall be submitted to the offender.

3. The record of the customs offence is a decision of the customs authority on imposing a customs sanction on a person for committing the offence. The record of the customs offence shall be considered a tax claim.

4. The offender shall have the right to submit to the customs authority an explanation and/or a remark, which shall be reflected in the record of the customs offence or attached thereto.

5. A record of the customs offence shall not be drawn up:

a) in the case of detection of signs of a criminal offence. At the same time, the case materials shall be immediately sent to the relevant investigative authority according to jurisdiction;

b) if the customs offence is recorded in an act of inspection of post-release control of goods.

6. In the case provided for by subparagraph „a“ of paragraph 5 of this Article, the customs authority, taking into account the relevant decision of the investigative authority or court, shall, within 30 days from the delivery of that decision to it, terminate the case of the customs offence or adopt a decision on imposing a customs sanction on the relevant person. This decision shall be considered a tax claim.

7. The customs authority shall be entitled, in order to ensure the proceedings in a case of customs offence, to apply the measures provided for by Articles 244, 245 and 247−249 of the Code of Administrative Offences of Georgia.

8. If within 30 days from the detection of the customs offence it is impossible to establish and/or identify the person who committed this act, the customs authority shall adopt a decision on the application of the measure of disposal of goods provided for by this Code in respect of the goods and/or means of transport of the customs offence.

9. The procedure for proceedings in a case of customs offence, the measures to ensure the enforcement of a customs sanction and the procedure for their implementation shall be determined by an Order of the Minister of Finance of Georgia.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 165. Violation of the time limit for presentation of goods/general declaration/declaration of goods or the time limit for declaration of a means of transport🔗

Violation of the time limit for presentation of goods/general declaration/declaration of goods or the time limit for declaration of a means of transport –

shall entail a fine of GEL 50 for each day of delay, full/incomplete, but not more than GEL 1,000.

Note: The liability provided for by this Article shall not be imposed on a person where the violation of the time limit for declaration of goods entails a violation of the conditions of a customs procedure/re-export.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 166. Removal/elimination and/or otherwise rendering unusable/destruction of a means of customs identification without the consent of the customs authority🔗

1. Removal/elimination and/or otherwise rendering unusable/destruction of a means of customs identification without the consent of the customs authority, damage to a marked vehicle, a building/structure located in the customs control zone or marked luggage/hand luggage, or movement of a vehicle by a means of customs identification affixed in such a way that allows entry into it without damaging this identification means, –

shall entail a fine of GEL 500 imposed on the owner.

2. The act provided for by paragraph 1 of this Article, committed repeatedly, –

shall entail a fine of GEL 1,000 imposed on the owner.

3. The act provided for by paragraph 1 of this Article, which resulted in the disposal, loss or destruction of goods from a marked vehicle, a building/structure located in the customs control zone or marked luggage/hand luggage, –

shall entail a fine of GEL 5,000 imposed on the owner.

4. The act provided for by paragraph 3 of this Article, committed repeatedly, –

shall entail a fine of GEL 10,000 imposed on the owner.

Note:

1. A person shall not be held liable under paragraphs 1 and 2 of this Article if minor damage is observed on the means of customs identification and/or the marked vehicle, the building/structure located in the customs control zone and/or the marked luggage/hand luggage, but entry into the marked vehicle, the building/structure located in the customs control zone and/or the marked luggage/hand luggage is impossible.

2. A person shall not be held liable under paragraphs 1 and 2 of this Article if the container was brought into the customs territory of Georgia by sea transport.

Article 167. Reduction of the amount of import duty🔗

1. Where the customs declaration and its accompanying documents contain incorrect data, reduction of the amount of import duty (except for the cases provided for by paragraphs 3 and 4 of this Article) –

entails a fine in the amount of 100 per cent of the amount of import duty reduced in the customs declaration.

2. The act provided for by paragraph 1 of this Article, committed repeatedly, –

entails a fine in the amount of 200 per cent of the amount of import duty reduced in the customs declaration.

3. Where the customs declaration submitted by a natural person for goods of a value of up to GEL 3,000 (except for goods imported into the customs territory of Georgia by postal consignment) and its accompanying documents contain incorrect data, reduction of the amount of import duty –

entails a fine in the amount of 40 per cent of the amount of import duty reduced in the customs declaration.

4. The act provided for by paragraph 3 of this Article, committed repeatedly, –

entails a fine in the amount of 100 per cent of the amount of import duty reduced in the customs declaration.

5. For the purposes of this Article, the reduction of the amount of import duty shall be deemed to be the entry in the customs declaration of such data whose incorrectness is confirmed on the basis of evidence during the exercise of customs control or in a criminal case in accordance with the procedure established by the legislation of Georgia. The mere existence of a doubt which may become the basis for adjusting the customs value of goods or determining it by a different method shall not constitute the elements of a customs offence.

Note: If, by entering incorrect data in the customs declaration and its accompanying documents, the amount of import duty was reduced in respect of goods whose customs value exceeds GEL 15,000, paragraphs 1 and 2 of this Article shall apply if the person has not been held criminally liable for the said act.

Law of Georgia of 5 April 2023 No. 2767 – website, 18 April 2023.

Article 168. Illegal movement or removal of goods🔗

1. Importation of goods (except cash and securities) into the customs territory of Georgia or removal thereof from the customs territory of Georgia (except the case provided for by paragraph 3 of this Article) bypassing customs control or concealed from it –

entails a fine in the amount of 100 percent of the customs value of the goods or gratuitous confiscation of the goods and/or the means of transport.

2. The act provided for by paragraph 1 of this Article, committed repeatedly, –

entails a fine in the amount of 100 percent of the customs value of the goods, with or without gratuitous confiscation of the goods and/or the means of transport.

3. Importation by an individual of goods (except cash and securities) worth up to GEL 3,000 into the customs territory of Georgia or removal thereof from the customs territory of Georgia bypassing customs control or concealed from it –

entails a fine in the amount of GEL 1,000 and/or gratuitous confiscation of the goods and/or the means of transport.

3¹. The act provided for by paragraph 3 of this Article, committed repeatedly, –

entails a fine in the amount of GEL 3,000 and/or gratuitous confiscation of the goods and/or the means of transport.

4. Importation of goods (except cash and securities) placed in a means of transport intended for transit movement into the customs territory of Georgia or removal thereof from the customs territory of Georgia bypassing customs control or concealed from it –

entails a fine in the amount of GEL 2,000.

5. The act provided for by paragraph 4 of this Article, committed repeatedly, –

entails a fine in the amount of GEL 4,000.

Note:

1. If the customs value of goods moved bypassing customs control or concealed from it exceeds GEL 15,000, paragraphs 1, 2, 4 and 5 of this Article shall apply only if the person has not been held criminally liable for the said act.

2. If the customs value of goods imported bypassing customs control by means of a hiding place or by illegally crossing the customs border of Georgia exceeds GEL 5,000, paragraphs 1 and 2 of this Article shall apply only if the person has not been held criminally liable for the said act.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 169. Illegal movement and importation of cash and securities across the customs border of Georgia🔗

1. Movement or importation across the customs border of Georgia of cash and securities in an amount exceeding 30,000 GEL or its equivalent in another currency, but not exceeding 50,000 GEL, bypassing customs control or concealed from it or with incorrect declaration –

entails a fine in the amount of 3,000 GEL or gratuitous confiscation of such goods.

2. Movement or importation across the customs border of Georgia of cash and securities in an amount exceeding 50,000 GEL or its equivalent in another currency, but not exceeding 100,000 GEL, bypassing customs control or concealed from it or with incorrect declaration –

entails a fine in the amount of 5,000 GEL or gratuitous confiscation of such goods.

3. Movement or importation across the customs border of Georgia of cash and securities in an amount exceeding 100,000 GEL or its equivalent in another currency, bypassing customs control or concealed from it or with incorrect declaration –

entails a fine in the amount of 10 per cent of the value of the cash and securities moved or imported bypassing customs control or concealed from it or with incorrect declaration, or gratuitous confiscation of such goods.

Note: In the case provided for by this Article, in the presence of undeclared goods, it shall be considered incorrect declaration if the total amount of the declared goods and the undeclared goods exceeds 30,000 GEL or its equivalent in another currency.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 170. Reloading/unloading of goods under customs supervision without the consent of the customs authority, or leaving of the customs control zone by goods and/or a means of transport, or deviation of a means of transport from the customs route🔗

1. Leaving of the customs control zone by goods and/or a means of transport without the consent of the customs authority, reloading into a means of transport or unloading from a means of transport of goods under customs supervision, or deviation by goods and/or a means of transport from the customs route determined for movement –

entails a fine in the amount of 1,000 GEL.

2. The act provided for by paragraph 1 of this Article, committed repeatedly –

entails a fine in the amount of 2,000 GEL.

Note: The liability provided for by this Article shall not be imposed on a person when the leaving of the customs control zone by goods and/or a means of transport without the consent of the customs authority, the reloading into a means of transport or unloading from a means of transport of goods under customs supervision, or the deviation by goods and/or a means of transport from the customs route determined for movement results in the unlawful disposal, loss or destruction of the goods and/or the means of transport under customs supervision.

Law of Georgia of 5 April 2023 No. 2767 – website, 18.04.2023.

Article 171. Violation of the conditions of a customs procedure/re-export🔗

1. Violation of the conditions of a customs procedure/re-export –

entails a fine in the amount of GEL 500.

2. The act provided for by paragraph 1 of this Article, committed repeatedly, –

entails a fine in the amount of GEL 1,000.

Note: The liability provided for by this Article shall not be imposed on a person when another liability is established for the same act in accordance with this Code.

Law of Georgia No. 2767 of 5 April 2023 – website, 18 April 2023.

Article 172. Unlawful disposal, loss or destruction of goods and/or a means of transport🔗

Violation of the conditions of a customs procedure/re-export or another act which resulted in the unlawful disposal, loss or destruction of goods and/or a means of transport under customs supervision –

entails a fine in the amount of 100 percent of the amount of import duty payable on identical/similar goods and/or means of transport.

Law of Georgia No. 2767 of 5 April 2023 – website, 18 April 2023.

Article 173. Increase or reduction of the customs value of goods🔗

1. When there is incorrect data required to be entered in the customs declaration and its accompanying documents/re-export declaration and its accompanying documents regarding the customs value of goods, the increase or reduction by the declarant of the customs value of goods –

entails a fine in the amount of 10 percent of the amount of the difference between the customs value of the goods and the increased or reduced customs value.

2. The act provided for by paragraph 1 of this Article, committed repeatedly, –

entails a fine in the amount of 20 percent of the amount of the difference between the customs value of the goods and the increased or reduced customs value.

Note:

1. The liability provided for by this Article shall not be imposed on a person when the existence of incorrect data required to be entered in the customs declaration and its accompanying documents regarding the customs value of goods results in a reduction of the amount of import duty.

2. If the amount of the difference between the customs value of the goods and the increased or reduced customs value exceeds GEL 15,000, paragraphs 1 and 2 of this Article shall apply if the person has not been held criminally liable for the said act.

Law of Georgia No. 2767 of 5 April 2023 – website, 18 April 2023.

Article 174. Failure to notify the customs authority about the entry/landing or exit/departure of a means of transport🔗

1. Failure by a port, railway station or airport to notify the customs authority about the entry/landing or exit/departure of a means of transport that crosses the customs border of Georgia –

entails a fine in the amount of GEL 5,000.

2. The act provided for by paragraph 1 of this Article, committed repeatedly, –

entails a fine in the amount of GEL 10,000.

Article 175. Violation of the document retention period🔗

Violation of the document retention period, if, when the document is submitted to the customs authority electronically, its submission in material form is not mandatory, –

entails a fine in the amount of 1,000 GEL.

Article 176. Non-fulfilment of permit conditions🔗

1. Violation of a permit condition established by the legislation of Georgia for the activity of a customs warehouse or the activity of a free trade point –

entails a fine of the permit holder in the amount of 2,000 GEL.

2. The act provided for by paragraph 1 of this Article (violation of the same permit condition), committed repeatedly, –

entails tripling of the fine provided for by paragraph 1 of this Article.

Article 177. Resistance to an authorised person of the customs authority, disregard of his/her lawful demand🔗

1. Resistance to an authorised person of the customs authority, disregard of his/her lawful demand, which impeded the implementation of a measure provided for by the customs legislation of Georgia, −

entails a fine in the amount of 800 GEL.

2. The act provided for by paragraph 1 of this Article, committed repeatedly, –

entails a fine in the amount of 2,000 GEL.

Article 178. Failure to submit information to the customs authority🔗

1. In the case of a demand by the customs authority, failure to submit to the customs authority, within the period established by the customs legislation of Georgia, information related to the implementation of customs supervision, customs control or customs formalities –

entails a fine in the amount of 400 GEL.

2. The act provided for by paragraph 1 of this Article, committed repeatedly, –

entails a fine in the amount of 1,000 GEL.

3. Failure by a person carrying out international air carriage to submit to the customs authority, in accordance with the established procedure, advance information on the means of transport carrying out international air carriage, the goods and/or passengers to be moved by this means of transport –

entails a fine in the amount of 2,000 GEL.

4. The act provided for by paragraph 3 of this Article, committed repeatedly, –

entails a fine in the amount of 4,000 GEL.

Article 179. Declaration for the purpose of release into free circulation of non-excisable goods subject to mandatory marking without marking🔗

Declaration for the purpose of release into free circulation of non-excisable goods subject to mandatory marking without marking −

entails a fine in the amount of the customs value of the non-excisable goods subject to mandatory marking detected without marking, but not less than 500 GEL.

Article 180. Essence of exemption from customs obligation and interpretation of terms🔗

1. This Book establishes the cases and conditions of exemption from customs obligation.

2. For the purposes of this Book, the terms used therein have the following meaning:

a) personal property − any thing intended for a person's personal use or for the satisfaction of household needs. The characteristics or quantity of personal property shall not indicate its importation for entrepreneurial purposes. Personal property includes:

a.a) household item;

a.b) a bicycle, a means of transport in a person's personal property, in particular, a motorcycle and its trailer, a caravan-type means of transport intended for recreation, a yacht, an aircraft and others;

a.c) household appliances intended for the satisfaction of ordinary family needs, domestic and saddle animals, portable instruments intended for the applied and humanitarian sciences, which are necessary for a person to carry out activities related to his/her craft or profession;

b) household item − an article of personal consumption, linen, furniture, equipment of household designation intended for a person's personal use or for the satisfaction of household needs;

c) alcoholic product − goods (beer, wine, an aperitif made from wine or alcohol, brandy, liqueur or a spirit drink and others) classified in HS commodity headings 2203–2208;

d) benefit − exemption from customs obligation provided for by this Code.

3. For the purposes of this Book, the rule for considering personal property as intended for entrepreneurial use shall be determined by a Resolution of the Government of Georgia.

4. The rule of exemption from customs obligation provided for by this Book shall be determined by an Order of the Minister of Finance of Georgia.

Article 181. Importation by a person of personal property into the customs territory of Georgia upon moving to Georgia for permanent residence🔗

1. Upon a natural person's moving from a foreign country to the customs territory of Georgia for permanent residence, the importation by that person of personal property shall be exempt from import tax in accordance with this Article.

2. The benefit provided for by this Article shall apply to personal property which:

a) was in his/her use for at least 6 months before the person left his/her place of residence in the foreign country. This condition shall not apply to consumable goods;

b) is intended for use for the same purpose at the person's new place of residence.

3. The benefit provided for by this Article shall apply to a person who lived outside the customs territory of Georgia for at least 12 continuous months.

4. The customs authority may allow an exception to the rule provided for by paragraph 3 of this Article if it is established that the person intended to live outside the customs territory of Georgia for at least 12 continuous months.

5. The benefit provided for by this Article shall not apply to:

a) alcoholic products;

b) tobacco and tobacco products;

c) means of transport for entrepreneurial purposes;

d) an item required for carrying out an activity related to a craft or profession, except for portable instruments intended for applied and humanitarian sciences.

6. The benefit provided for by this Article shall apply only to personal property which the person imported into the customs territory of Georgia for release into free circulation within 12 months from his/her establishment at his/her place of residence (obtaining the right of residence).

7. Personal property may be released into free circulation in several consignments during the period provided for by paragraph 6 of this Article.

8. It shall be prohibited, within 12 months from the date of importation of personal property imported under the benefit for release into free circulation, without prior notification to the customs authority, to use it as security, lease it, lend it to another person, or transfer it in any form for consideration or free of charge.

9. The use of personal property imported with a benefit as security, its leasing, lending to another person, or transfer in any form for consideration or free of charge within the period established by paragraph 8 of this Article gives rise to the obligation to pay the corresponding import tax on such goods at the rate in force at the moment of the use of the said personal property as security, its leasing, lending to another person, or transfer in any form for consideration or free of charge, depending on the type of personal property and the customs value determined by the customs authority for the same moment. If it is impossible to determine the moment of the use of personal property imported with a benefit as security, its leasing, lending to another person, or transfer in any form for consideration or free of charge, the rate in force on the date of declaration of such goods shall be applied when calculating the import tax due.

10. Notwithstanding the requirement established by paragraph 6 of this Article, personal property imported for release into free circulation may be exempted from import tax before the person's entry into the customs territory of Georgia for residence (before obtaining the right of residence), if the person assumes the obligation to establish residence in the customs territory of Georgia within 6 months and submits to the customs authority the corresponding guarantee, the type and amount of which shall be determined by the Minister of Finance of Georgia.

11. In the case provided for by paragraph 10 of this Article, for the imported goods the period established by subparagraph „a“ of paragraph 2 of this Article shall be counted from the moment of importation of such goods into the customs territory of Georgia.

12. Personal property imported by a person who enters the customs territory of Georgia in connection with official duties and who intends to establish permanent residence in the customs territory of Georgia shall be exempted from import tax.

13. Personal property provided for by paragraph 12 of this Article shall be exempted from import tax in accordance with the conditions provided for by paragraphs 1–9 of this Article, taking into account that:

a) the periods established by subparagraph „a“ of paragraph 2 and by paragraph 6 of this Article shall be counted from the moment of importation of the personal property into the customs territory of Georgia;

b) the period established by paragraph 8 of this Article shall be counted from the granting to the person of the right of residence in the customs territory of Georgia.

14. The exemption from import tax of personal property provided for by paragraph 12 of this Article shall be possible if the person assumes in advance the obligation to establish residence in the customs territory of Georgia within the period established by the customs authority (granting of the right of residence). In this case, the customs authority shall be entitled to require a guarantee, the type and amount of which shall be determined by order of the Minister of Finance of Georgia.

15. The customs authority may modify (relax) the requirements established by paragraphs 2, 8 and 9 of this article, as well as by subparagraphs "c" and "d" of paragraph 5, if the person changes his/her place of residence due to special political circumstances.

Article 182. Importation of goods into the customs territory of Georgia in the event of marriage🔗

1. Subject to this article, importation into the customs territory of Georgia by a person of household items belonging to that person (regardless of whether such goods are new or not) shall be exempt from import tax, if that person, due to marriage, moves from a foreign country to the customs territory of Georgia for permanent residence.

2. In accordance with the conditions provided for by paragraph 1 of this article, a wedding gift received by a person who has moved to the customs territory of Georgia for permanent residence due to marriage from a person residing in a foreign country shall be exempt from import tax. At the same time, the value of each gift shall not exceed GEL 1000.

3. The benefit provided for by this article shall apply to a person who has fulfilled the following conditions:

a) he/she lived outside the customs territory of Georgia for at least a continuous period of 12 months. At the same time, this requirement shall not apply if it is established that the person intended to live outside the customs territory of Georgia for at least a continuous period of 12 months;

b) he/she submitted a document confirming the fact of being married.

4. The benefit provided for by this article shall not apply to alcoholic products, tobacco and tobacco products.

5. The benefit provided for by this article shall apply to goods that were imported for release into free circulation:

a) not earlier than 2 months before the date of the person's marriage (in this case, submission of a guarantee is mandatory, the type and amount of which shall be determined by the Minister of Finance of Georgia);

b) not later than 4 months from the date of the person's marriage.

6. Goods provided for by paragraphs 1 and 2 of this article may be released into free circulation in several consignments within the time limits established by paragraph 5 of this article.

7. It shall be inadmissible, within 12 months from the date of importation of goods imported under this article with the benefit for release into free circulation, without prior notification to the customs authority, to use them as an object of security, lease them, lend them to another person, or transfer them in any form for consideration or free of charge.

8. The use of goods imported with relief as security, renting them out, lending them to another person or transferring them in any form for consideration or free of charge within the period established by paragraph 7 of this Article gives rise to the obligation to pay the corresponding import tax on these goods at the rate in force at the moment of the use of the said goods as security, renting them out, lending them to another person or transferring them in any form for consideration or free of charge, based on the type of goods and the customs value determined by the customs authority for the same moment. If it is impossible to determine the moment of the use of goods imported with relief as security, renting them out, lending them to another person or transferring them in any form for consideration or free of charge within the period established by paragraph 7 of this Article, the rate in force as of the date of declaration of these goods shall be applied when calculating the import tax due.

Article 183. Importation into the customs territory of Georgia of inherited personal property🔗

1. Subject to this Article, the importation into the customs territory of Georgia of personal property inherited by a person permanently residing in the customs territory of Georgia shall be exempt from import tax.

2. For the purposes of paragraph 1 of this Article, "personal property" is any property of a deceased person that meets the requirements established by subparagraph "a" of paragraph 2 of Article 180 of this Code.

3. The relief provided for by this Article shall not apply to:

a) alcoholic products;

b) tobacco and tobacco products;

c) a means of transport for entrepreneurial purposes;

d) an item necessary for carrying out an activity related to a craft or profession, except for a portable instrument intended for the applied and humanitarian sciences which the deceased person used for carrying out an activity related to his/her own craft or profession;

e) stocks of raw materials, finished products and semi-finished products;

f) agricultural animals and stocks of agricultural products the quantity of which exceeds the quantity necessary to satisfy ordinary household needs.

4. The relief provided for by this Article shall apply to personal property which the person imported for release into free circulation not later than 2 years from the moment he/she acquired the right to this property (from the moment of final resolution of the inheritance matter). In a special case, the customs authority shall be entitled to extend the said period.

5. Personal property may be imported in several consignments within the period established by paragraph 4 of this Article.

6. This Article shall apply, as appropriate, to the importation of personal property inherited by a non-entrepreneurial (non-commercial) legal entity registered in the customs territory of Georgia.

Article 184. Import of study equipment, educational item and household item🔗

1. Import into the customs territory of Georgia, by a pupil or student entering to stay for the purpose of study, during the study period, of study equipment, educational item or household item intended for personal use, which is the usual attribute of the pupil's or student's place of residence and belongs to him or her, shall be exempt from import tax.

2. For the purposes of paragraph 1 of this Article:

a) "pupil or student" is any person registered in a full-time department at an educational institution;

b) "study equipment" is clothing or linen for household purposes, regardless of whether it is new or not;

c) "educational item" is an item or tool (including a calculator and a typewriter) which the pupil or student, as a rule, uses for study purposes.

3. The benefit provided for by this Article may be applied once during the academic year.

Article 185. Import of a consignment of goods of insignificant value🔗

1. Subject to this Article, import of any consignment of goods consisting of goods of insignificant value, which is sent to a recipient in Georgia from a foreign country, shall be exempt from import tax.

2. For the purposes of paragraph 1 of this Article, "goods of insignificant value" is a consignment of goods with a value of up to 300 GEL.

3. The benefit provided for by this Article shall not apply to alcoholic products, perfume, toilet water, tobacco and tobacco products.

Article 186. Importation of a consignment of goods sent by a natural person to a natural person residing in the customs territory of Georgia🔗

1. Subject to this Article, the importation from a foreign country of a consignment of goods sent by a natural person to a natural person residing in the customs territory of Georgia shall be exempt from import tax, if this consignment of goods is not intended for economic activity.

2. For the purposes of paragraph 1 of this Article, an imported consignment of goods shall be considered not intended for economic activity if the following conditions are met:

a) the consignment of goods is sent irregularly;

b) the consignment of goods contains only goods intended for the personal use of the recipient or members of his/her family, which by their characteristics or quantity are not intended for economic activity;

c) the sender sends the consignment of goods to the recipient without compensation.

3. The exemption provided for by paragraph 1 of this Article shall apply to each consignment of goods with a value of up to GEL 300, including the value of the goods provided for by paragraph 5 of this Article.

4. If the value of a consignment of goods consisting of several goods exceeds the limit provided for by paragraph 3 of this Article, within this limit those goods shall be exempt from import tax which would have been exempt from import tax if imported separately, taking into account that the value of an individual commodity item may not be split.

5. In order to benefit from the exemption provided for by paragraph 1 of this Article, the following quantitative restrictions shall also apply, per consignment of goods, to the goods indicated below:

a) 200 cigarettes or 50 cigars or 50 cigarillos, or 200 tobacco products falling under CN FEA code 2403 99 900 02, or 10 capsules and similar products falling under CN FEA code 2403 99 900 01, or 250 grams of other tobacco products (except raw tobacco), or a set of the types of tobacco products indicated in this subparagraph, if the sum of the percentage shares of each type of tobacco product contained therein (the percentage share in relation to the respective maximum quantity) does not exceed 100, or 50 ml of goods falling under CN FEA code 3824 90 980 01, which are transported with baggage and/or hand baggage when carrying a passenger and which are not intended for economic activity;

b) in total, 1 litre of alcoholic products with an alcohol content of 22% or more, or undenatured ethyl alcohol with an alcohol content of 80% or more, or 2 litres of alcoholic products with an alcohol content of less than 22%, or a set of the types of alcoholic products indicated in this subparagraph, if the sum of the percentage shares of each type of alcoholic product contained therein (the percentage share in relation to the respective maximum quantity) does not exceed 100;

c) 4 litres of wine and 16 litres of beer.

Note:

1. If the quantity of alcoholic products and/or tobacco products and/or goods provided for by code 3824 90 980 01 of the Commodity Nomenclature of Foreign Economic Activity (CN FEA) exceeds the maximum quantity provided for by subparagraphs “a”, “b” or “c” of paragraph 5 of this Article, the exemption from import tax provided for by the same Article shall apply within the above-specified maximum quantity of goods.

2. In the cases provided for by subparagraphs “a”, “b” and “c” of paragraph 5 of this Article, the right to benefit from the relief shall arise for a natural person from the age of 18.

3. For the purposes of subparagraphs “a”, “b” and “c” of paragraph 5 of this Article, goods shall be considered not intended for economic activity if they are imported once and are intended for the personal use of the recipient or for use by members of his/her family and/or for gifting. At the same time, the importation of goods shall be one-time if, in the case of importation by air transport, there is no more than 1 instance of importation of these goods within 1 calendar day, and in other cases, within 30 calendar days.

Article 187. Importation of fixed assets and other equipment belonging to an enterprise when the enterprise is transferred from a foreign country to the customs territory of Georgia to continue its activity🔗

1. Subject to this Article, without limiting protective measures in Georgia's industry and trade, the importation of fixed assets and other equipment belonging to an enterprise that ceases activity in a foreign country and moves to the customs territory of Georgia for the purpose of carrying out analogous activity shall be exempt from import tax. In the case of an enterprise carrying out agricultural activity, the biological asset belonging to this enterprise (except plants) shall also be exempt from import tax.

2. For the purposes of paragraph 1 of this Article, "enterprise" is an independently operating economic entity that carries out activity in the field of production or services.

3. The benefit provided for by this Article shall apply to fixed assets and other equipment that:

a) was actually used by the enterprise in the foreign country (from which it was transferred to continue activity) for not less than 12 months before the cessation of activity;

b) is intended for use in Georgia for the same purpose;

c) corresponds to the characteristics and size of the enterprise.

4. The benefit provided for by this Article shall not apply to an enterprise if its transfer to the customs territory of Georgia occurs as a result of or for the purpose of merger with or accession to an enterprise established in Georgia, except in the case where the reorganization is carried out to start a new activity.

5. The benefit provided for by this Article shall not apply to:

a) a vehicle that, by its technical characteristics, is not intended for use as a means of production or for the provision of services;

b) stock that is intended (suitable) for human consumption or for use as animal feed;

c) fuel, stocks of raw materials, finished products and semi-finished products;

d) agricultural animals in the ownership of a livestock dealer.

6. The benefit provided for by this Article shall apply to fixed assets and other equipment that were imported for release into free circulation by the enterprise not later than 12 months from the date of cessation of activity in the foreign country.

7. It shall be prohibited, within 12 months from the date of importation of goods imported with the benefit in accordance with this Article for release into free circulation, without prior notification to the customs authority, to use them as security, lease them, lend them to another person, or transfer them in any form for consideration or free of charge. If there is a risk of bad-faith use of the benefit provided for by this Article, the customs authority may extend the said period up to 36 months.

8. The use as security, leasing, lending to another person, or transfer in any form for consideration or free of charge, within the period established by paragraph 7 of this article, of goods imported under an exemption gives rise to an obligation to pay the relevant import tax on these goods at the rate in force at the moment of use as security, leasing, lending to another person, or transfer in any form for consideration or free of charge of the said goods, depending on the type of goods and the customs value determined by the customs authority for the same moment. If it is impossible to determine the moment of use as security, leasing, lending to another person, or transfer in any form for consideration or free of charge, within the period established by paragraph 7 of this article, of goods imported under an exemption, the rate in force on the day of declaration of these goods shall apply when calculating the import tax due.

9. This article shall apply, as appropriate, when a person carrying out an activity provided for by paragraph 1 or 2 of Article 3 of the Law of Georgia "On Entrepreneurs" or a legal entity engaged in non-entrepreneurial activity imports fixed assets and other equipment, if they are brought into the customs territory of Georgia from a foreign country for the continuation of the activity.

Law of Georgia No. 896 of 2 August 2021 – website, 04.08.2021.

Article 188. Importation into the customs territory of Georgia by a person established in Georgia of goods obtained from property located in a foreign country in the territory directly adjacent to the customs territory of Georgia🔗

1. Subject to this article, the importation into the customs territory of Georgia of agricultural, livestock, beekeeping, horticultural or forestry products obtained from property (holding) located in a foreign country in the territory directly adjacent to the customs territory of Georgia shall be exempt from import tax, if this holding is managed by a producer of agricultural products whose place of carrying out main activity is located in the customs territory of Georgia.

2. To benefit from the exemption provided for by this article, livestock products must be obtained from an animal born and raised in Georgia or from an animal released into free circulation in Georgia.

3. The exemption provided for by this article shall apply to goods that have not undergone processing, except for processing that normally accompanies the obtaining or production of goods.

4. The exemption provided for by this article shall apply to goods imported into the customs territory of Georgia by a producer of agricultural products or on his/her instruction.

5. This article shall apply, as appropriate, to products obtained by fishing or fish farming by a fisherman holding Georgian citizenship in a lake or water channel located on the border between Georgia and a foreign country, and to products obtained by hunting by a hunter holding Georgian citizenship in this lake or water channel.

Article 189. Importation by a producer of agricultural products of a foreign country of seed material, fertilizer and other means for use in a holding located in Georgia🔗

1. Subject to this article, the importation of seed material, fertilizer and other means for treating soil and crops intended for use in property (holding) located in Georgia and directly adjacent to a foreign country shall be exempt from import tax, if this holding is managed by a producer of agricultural products whose place of carrying out main activity is located in a foreign country in the territory directly adjacent to the customs territory of Georgia.

2. The benefit provided for by this article shall apply to the quantity of seed material, fertilizer and other means intended for treating soil and crops that is necessary for the needs of the respective holding.

3. The benefit provided for by this article shall apply to seed material, fertilizer and other means intended for treating soil and crops that are imported directly into the customs territory of Georgia by the direct producer of agricultural products or on his or her instruction.

4. Goods provided for by this article may be exempt from import tax taking into account the substitution principle.

Article 190. Importation of personal luggage by a passenger🔗

The following shall be exempt from import tax when imported by a passenger:

a) once during 1 calendar day, the importation of food products with a total value of up to 500 GEL and a total weight of up to 30 kilograms, provided for by HS groups 02, 04, 06–12 and 15–21 and commodity positions 0302–0307 and 2201–2202, which are not intended for economic activity;

b) once in 30 calendar days, the importation of goods with a value of up to 500 GEL and a total weight of up to 30 kilograms, provided for by HS groups 28–97 (except HS code 3824 90 980 01), which are not intended for economic activity;

c) the importation of goods provided for by paragraph 5 of Article 186 of this Code, in the quantity determined by the same paragraph, taking into account the note to the same paragraph.

Article 191. Importation of material for educational, scientific or cultural purposes, and of scientific instruments or apparatus🔗

1. The importation into the customs territory of Georgia of visual material or audio material for educational, scientific or cultural purposes (in particular, laser projection holograms, multimedia kits, software instruction material, including the corresponding set of material in printed form) produced by the United Nations Organization or its specialised agency shall be exempt from import tax, irrespective of the recipient and the purpose of use of such material.

2. The following shall be exempt from import tax:

a) goods provided for by paragraph 1 of this Article which are intended for an educational, scientific or cultural institution/organisation carrying out public activities;

b) a collector's item or work of art for educational, scientific or cultural purposes, the recipient of which is a museum, gallery or similar institution and which is not intended for sale.

3. Subject to paragraphs 5–12 of this Article, scientific instruments and/or apparatus not covered by paragraph 2 of this Article shall be exempt from import tax if they are imported for non-commercial purposes.

4. The exemption provided for by paragraph 3 of this Article shall apply to scientific instruments and/or apparatus intended for:

a) a public institution or a structural unit of a public institution whose main activity is educational or scientific research activity;

b) a private institution whose main activity is educational or scientific research activity.

5. The exemption provided for by paragraph 3 of this Article shall also apply to:

a) spare and component parts or accessories intended for scientific instruments and/or apparatus, if they are imported together with the scientific instruments and/or apparatus for which they are intended, or if they are imported subsequently and are identified as intended for the instruments and/or apparatus which:

a.a) were previously imported with the exemption, if, at the time of the request for the exemption for the spare and component parts or accessories, these instruments and/or apparatus are still intended for scientific purposes;

a.b) may be exempted from import tax at the time of the request for the exemption for the spare and component parts or accessories;

b) tools required for the maintenance, inspection, calibration or repair of scientific instruments and/or apparatus, if they are imported together with the scientific instruments and/or apparatus for which they are intended, or if they are imported subsequently and are identified as intended for the instruments and/or apparatus which:

b.a) were previously imported with the exemption, if, at the time of the request for the exemption for the tools, these instruments and/or apparatus are still intended for scientific purposes;

b.b) at the moment of requesting a benefit for the instrument, it may be exempted from import tax.

6. For the purposes of paragraphs 3–5 of this Article:

a) "scientific-purpose instrument and/or apparatus" is any instrument and/or apparatus which, based on its technical characteristics and the results obtained from its operation, is intended mainly or exclusively for scientific activity;

b) "importation of a scientific-purpose instrument and/or apparatus for non-entrepreneurial purposes" is the importation of such scientific-purpose instrument and/or apparatus which is intended for scientific research or is of educational purpose, and the respective activity is not carried out for profit.

7. The Government of Georgia is entitled, where necessary, not to extend the benefit provided for by this Article to a specific instrument or apparatus, if it is established that exemption of the said instrument or apparatus from import tax would harm the industrial interests of Georgia in a specific production sector.

8. It is inadmissible, without prior notification to the customs authority, to use as an object of security, to lease, to lend to another person, or to transfer in any form for consideration or free of charge, the goods or scientific-purpose instrument or apparatus provided for by paragraph 2 of this Article which is exempted from import tax under the conditions provided for by paragraphs 5–7 of this Article.

9. If the use as an object of security, leasing, lending or transfer in any form for consideration or free of charge of the goods provided for by paragraph 8 of this Article takes place to an institution or organization enjoying the benefit provided for by paragraph 2 or 4 of this Article, this benefit remains in force if the recipient institution or organization uses the said goods for the purpose which grants the right to enjoy the said benefit. Otherwise, the use as an object of security, leasing, lending to another person or transfer in any form for consideration or free of charge of the goods provided for by paragraph 8 of this Article gives rise to the obligation of advance payment of the respective import tax on the said goods at the rate in force at the moment of the use as an object of security, leasing, lending to another person or transfer in any form for consideration or free of charge of the said goods, based on the type of the goods and the customs value determined by the customs authority for the same moment. If it is impossible to determine the moment of the use as an object of security, leasing, lending to another person or transfer in any form for consideration or free of charge of the said goods, the rate in force on the day of declaration of the said goods shall be applied when calculating the import tax due.

10. An institution or organization provided for by paragraphs 2-4 of this Article which ceases to fulfil a condition necessary for enjoying the benefit, or which intends to use goods imported under the benefit for a purpose different from that provided for by paragraphs 2-4 of this Article, shall be obliged to notify the customs authority thereof.

11. Goods remaining in the possession of the institution or organization which ceases to fulfil a condition necessary for enjoying the benefit shall be subject to taxation at the import tax rate in force at the moment of cessation of fulfilment of the said condition, depending on the type of goods and the customs value determined by the customs authority as of the same moment.

12. Goods used by an institution or organization enjoying the benefit for a purpose different from that provided for by paragraphs 2-4 of this Article shall be subject to taxation at the import tax rate in force at the moment of commencement of use of the goods for another purpose, depending on the type of goods and the customs value determined by the customs authority as of the same moment.

13. Paragraphs 7-12 of this Article shall, in the relevant cases, also apply to goods provided for by paragraph 5 of this Article.

14. The importation of equipment into the customs territory of Georgia for non-commercial purposes by a scientific institution or organization of a foreign country or on its assignment shall be exempt from import tax.

15. The benefit provided for by paragraph 14 of this Article shall apply if the equipment:

a) with the consent of a member of the institution or organization provided for by paragraph 14 of this Article, is intended for use within the framework of an agreement on scientific cooperation the purpose of which is the implementation of an international research program in a scientific-research organization established in Georgia;

b) during its presence in the customs territory of Georgia, remains in the ownership of a foreign natural or legal person.

16. For the purposes of paragraphs 14, 15 and 17-22 of this Article:

a) "equipment" is an instrument, apparatus, machine and/or its accessory (including a spare part and a tool) intended for conducting scientific research, which is specially intended for its technical maintenance, control, calibration or repair;

b) "equipment imported for non-commercial purposes" is equipment intended for conducting scientific research the purpose of which is not to make a profit.

17. It shall be prohibited, without prior notification to the customs authority, to use as an object of security, rent out, lend to another person, or transfer in any form for consideration or free of charge equipment imported under the benefit in accordance with the conditions provided for by paragraphs 14-16 of this Article.

18. If the equipment provided for by paragraph 17 of this Article is used as an object of the provision, leased, lent, or transferred in any form for consideration or free of charge to an institution or organisation enjoying the benefits provided for by paragraphs 14–16 of this Article, these benefits shall remain in force if the recipient institution or organisation uses this equipment for the purpose that confers the right to enjoy the said benefits.

19. Subject to paragraphs 3–5 of this Article, in other cases the use of the equipment provided for by paragraph 17 of this Article as an object of the provision, its lease, lending to another person, or transfer in any form for consideration or free of charge gives rise to an obligation to pay in advance the corresponding import tax on the said equipment at the rate in force at the moment of the use of this equipment as an object of the provision, its lease, lending to another person, or transfer in any form for consideration or free of charge, based on the type of equipment and the customs value determined by the customs authority for the same moment. If it is impossible to determine the moment of the use of the equipment provided for by paragraph 17 of this Article as an object of the provision, its lease, lending to another person, or transfer in any form for consideration or free of charge, the rate in force on the day of declaration of the said goods shall be applied when calculating the import tax due.

20. An institution or organisation provided for by paragraph 14 of this Article which no longer fulfils the conditions necessary for enjoying the relevant benefit, or which intends to use equipment imported under the benefit for a purpose different from that provided for by paragraphs 14 and 15 of this Article, shall be obliged to notify the customs authority thereof.

21. Equipment used by an institution or organisation which ceases to fulfil a condition necessary for enjoying the benefit shall be subject to import tax at the rate in force at the moment of the cessation of the fulfilment of the said condition, based on the type of goods and the customs value determined by the customs authority for the same moment.

22. Subject to paragraphs 3–5 of this Article, equipment used by an institution or organisation enjoying the benefit for a purpose different from that provided for by paragraphs 14–16 of this Article shall be subject to import tax at the rate in force at the moment of the commencement of the use of the goods for another purpose, based on the type of equipment and the customs value determined by the customs authority for the same moment.

Article 192. Importation of an animal intended for laboratory research, importation of a biological or chemical substance🔗

1. Exempt from import tax shall be:

a) the importation of an animal intended for use in a laboratory;

b) the importation, for non-entrepreneurial purposes, of a biological or chemical substance provided for by the list established by the Government of Georgia.

2. The benefit provided for by paragraph 1 of this Article shall apply to the animal, biological or chemical substance provided for by the same paragraph, which is intended for:

a) that public institution or that structural unit of a public institution whose main activity is educational or scientific-research activity;

b) a private institution whose main activity is educational or scientific-research activity.

3. The list provided for by subparagraph „b“ of paragraph 1 of this Article may also include those biological and chemical substances whose equivalent products are not available in the customs territory of Georgia and which, due to their special characteristics or quality, are necessary for scientific research.

Article 193. Importation of a medicinal substance of human origin, a blood-grouping reagent and a tissue-typing reagent🔗

1. Subject to this Article, the importation of the following goods shall be exempt from import tax:

a) a medicinal substance of human origin;

b) a blood-grouping reagent;

c) a tissue-typing reagent.

2. For the purpose of paragraph 1 of this Article:

a) „medicinal substance of human origin“ is human blood and its derivatives (whole blood, dry plasma, albumin, stabilised solution of plasma proteins, immunoglobulin, fibrinogen);

b) „blood-grouping reagent“ is a reagent of human, animal, plant or other origin which is used to determine human blood group and blood incompatibility;

c) „tissue-typing reagent“ is a reagent of human, animal, plant or other origin which is used for human tissue typing.

3. The benefit provided for by this Article shall apply to goods:

a) which are intended for use for non-entrepreneurial medical or scientific purposes by an institution or laboratory designated by the relevant body;

b) which are accompanied by a certificate of conformity issued by the authorised body of the country of dispatch;

c) which are placed in a container marked with a special identifying label.

4. The benefit provided for by this Article shall also apply to the packaging material necessary for the transportation of a medicinal substance of human origin, a blood-grouping reagent, a tissue-typing reagent, and to any solvent and accessory required for its use, which may be part of a consignment of goods.

Article 194. Import of an instrument or equipment intended for medical research, medical diagnostics or medical treatment🔗

1. Exempt from import tax is the import of that instrument or equipment intended for medical research, medical diagnostics or medical treatment which has been donated by a natural person or a charitable organization to a hospital, a health care institution or a medical research institution. Also exempt from import tax is that instrument or equipment intended for medical research, medical diagnostics or medical treatment which has been purchased by a hospital, a health care institution or a medical research institution with funds donated by a charitable organization or with voluntary contributions, if all of the following conditions are met:

a) the donation of the instrument or equipment does not contain an entrepreneurial purpose for the donor;

b) the donor has no connection with the manufacturer of the instrument or equipment to which the benefit is to apply.

2. The benefit provided for by this Article also applies to:

a) spare and component parts or an accessory intended for the instrument and/or equipment provided for by paragraph 1 of this Article, if they are imported together with the instrument and/or equipment for which they are intended, or if they are imported later and are identified as intended for the instrument and/or equipment previously imported with the benefit;

b) a tool necessary for the technical servicing, control, calibration or repair of the instrument and/or equipment provided for by paragraph 1 of this Article, if it is imported together with the instrument and/or equipment for which it is intended, or if it is imported later and is identified as intended for the instrument and/or equipment previously imported with the benefit.

3. Paragraphs 7–12 of Article 191 of this Code shall, in the relevant cases, also apply to the instrument and/or equipment provided for by this Article and to the recipient of the donation.

Article 195. Import of a sample of a reference preparation necessary for quality control of material used in the production of medical products🔗

Exempt from import tax is the import of a consignment of goods containing a sample of a reference preparation recognized by the World Health Organization, necessary for quality control of material used in the production of medical products.

Article 196. Import of a pharmaceutical product to be used at an international sports event🔗

Exempt from import tax is the import of that pharmaceutical product which is intended for the medical use of a person and/or animal entering the territory of Georgia from a foreign country to participate in an international sports event organized in Georgia, within the amount necessary to satisfy their needs during their stay in Georgia.

Article 197. Importation of Goods by a State Body or a Charitable Organization🔗

1. Subject to paragraphs 3–6 of this article, if this does not cause abuse or violation of competition rules, the following goods shall be exempt from import tax:

a) primary purpose item imported by a state body or a charitable organization for the purpose of transferring it free of charge to persons with the relevant need;

b) any goods sent free of charge to a state body or a charitable organization by a natural or legal person established in a foreign country, whose sender has no entrepreneurial purpose and which are sent for that irregular charitable event the purpose of which is to collect funds for a person with the relevant need;

c) equipment or office item sent free of charge to a charitable organization by a natural or legal person established in a foreign country, which is necessary for the performance of the charitable organization's function or for its charitable purpose and whose sender has no entrepreneurial purpose.

2. For the purposes of subparagraph “a” of paragraph 1 of this article, “primary purpose item” means goods necessary to satisfy an urgent human need, for example, food, medicine, clothing, bed linen.

3. The benefit provided for by this article shall not apply to:

a) alcoholic products;

b) tobacco and tobacco products;

c) coffee and tea;

d) means of transport, except an emergency medical assistance vehicle.

4. The benefit provided for by this article shall apply to an organization that carries out charitable activity in accordance with the legislation of Georgia.

5. It shall be inadmissible for an organization enjoying the benefit, without prior notification to the customs authority, to use the goods provided for by paragraph 1 of this article as an object of security, to rent out, lend to another person or transfer in any form for consideration or free of charge for a purpose different from that provided for by subparagraphs “a” and “b” of the same paragraph.

6. If the goods provided for by paragraph 1 of this Article are used as an object of security, leased, lent or transferred in any form for consideration or free of charge to an organization enjoying the benefits provided for by paragraphs 1 and 4 of this Article, these benefits shall remain in force if the recipient organization uses these goods for the purpose that entitles it to enjoy the said benefits. Otherwise, the use of the goods provided for by paragraph 1 of this Article as an object of security, their lease, lending to another person or transfer in any form for consideration or free of charge gives rise to the obligation to pay in advance the corresponding import tax on these goods at the rate in force at the moment of the use of the said goods as an object of security, lease, lending to another person or transfer in any form for consideration or free of charge, based on the type of goods and the customs value determined by the customs authority for the same moment. If it is impossible to determine the moment of the use of the goods provided for by paragraph 1 of this Article as an object of security, lease, lending to another person or transfer in any form for consideration or free of charge, the rate in force on the day of declaration of the said goods shall be applied when calculating the import tax due.

7. An organization provided for by paragraph 1 of this Article that ceases to fulfil a condition necessary for enjoying the benefit, or that intends to use the goods imported under the benefit for a purpose different from that provided for by paragraph 1 of this Article, shall be obliged to notify the customs authority thereof.

8. Goods remaining in the possession of an organization that ceases to fulfil a condition necessary for enjoying the benefit shall be subject to import tax at the rate in force at the moment of the cessation of the fulfilment of the said condition, based on the type of goods and the customs value determined by the customs authority for the same moment.

9. Goods used by an organization enjoying the benefit for a purpose different from that provided for by paragraph 1 of this Article shall be subject to import tax at the rate in force at the moment of the commencement of the use of the goods for another purpose, based on the type of goods and the customs value determined by the customs authority for the same moment.

Article 198. Importation of goods intended for a person with disabilities🔗

1. The importation of goods specially manufactured for the education or scientific or cultural development of a person with significantly pronounced disabilities due to vision (hereinafter – blind person) shall be exempt from import tax if it is imported:

a) by a blind person for personal use;

b) by an institution or organization that provides education to or renders assistance to a blind person.

2. The benefit provided by paragraph 1 of this Article shall apply to spare and component parts or accessories intended for the goods provided by the same paragraph, to instruments necessary for the technical servicing, control, calibration or repair of the said goods, if it is imported together with the goods for which it is intended, or if it is imported later and is identified as intended for goods previously imported with the benefit or intended for goods which, at the moment of requesting the benefit for spare and component parts or accessories or instruments, may be exempt from import tax.

3. Goods specially manufactured for the education of a person with disabilities, other than a blind person, for the creation of working conditions for such person or for his/her social adaptation shall be exempt from import tax if it is imported:

a) by a person with disabilities for personal use;

b) by an institution or organization whose main activity is providing education to or rendering assistance to a person with disabilities.

4. The benefit provided by paragraph 3 of this Article shall apply to spare and component parts or accessories intended for the goods provided by the same paragraph, to instruments necessary for the technical servicing, control, calibration or repair of the said goods, if it is imported together with the goods for which it is intended, or if it is imported later and is identified as intended for goods previously imported with the benefit or intended for goods which, at the moment of requesting the benefit for spare and component parts, accessories or instruments, may be exempt from import tax.

5. The Government of Georgia is entitled, where necessary, not to apply the benefit provided by this Article to individual goods, if it is established that the exemption of the said goods from import tax will cause damage to the industrial interests of Georgia in a specific production sector.

6. The benefit provided by subparagraph "a" of paragraph 1 and subparagraph "a" of paragraph 3 of this Article shall apply to an item intended for the personal use of a blind person or another person with disabilities, if, under the legislation of Georgia, this person is considered a blind person or a person with disabilities entitled to enjoy such benefit.

7. It shall be inadmissible, without prior notification to the customs authority, for a person provided for by paragraph 1 or 3 of this article to use goods imported with an exemption as an object of security, to lease them, to lend them to another person, or to transfer them in any form for consideration or free of charge.

8. If goods provided for by paragraph 7 of this article are used as an object of security, leased, lent, or transferred in any form for consideration or free of charge to a person, institution, or organization enjoying the exemptions provided for by paragraphs 1–4 of this article, these exemptions shall remain in force if the recipient person, institution, or organization uses these goods for the purpose that grants the right to enjoy the said exemptions. Otherwise, the use of goods provided for by paragraph 7 of this article as an object of security, leasing, lending to another person, or transfer in any form for consideration or free of charge entails the emergence of an obligation to pay in advance the corresponding import tax on these goods at the rate in force at the moment of the use of the said goods as an object of security, leasing, lending to another person, or transfer in any form for consideration or free of charge, based on the type of goods and the customs value determined by the customs authority for the same moment. If it is impossible to determine the moment of the use of goods provided for by paragraph 7 of this article as an object of security, leasing, lending to another person, or transfer in any form for consideration or free of charge, when calculating the import tax due, the rate in force for the day of declaration of the said goods shall be applied.

9. Goods imported by an institution or organization enjoying an exemption in accordance with the conditions provided for by paragraphs 1–4 of this article may be leased, lent, or transferred in any form for consideration or free of charge by this institution or organization for non-entrepreneurial purposes, without payment of the corresponding import tax, to a blind person or another person with disabilities with whom its activity is connected.

10. It shall be inadmissible, without prior notification to the customs authority, to use goods provided for by paragraph 7 of this article as an object of security, to lease, lend, or transfer them under conditions different from those provided for by paragraph 9 of the same article.

11. If the goods provided for by paragraph 9 of this Article are used as an object of security, leased, lent or transferred in any form for consideration or free of charge to a person, institution or organisation enjoying the benefit provided for by paragraph 1 or 3 of this Article, this benefit shall remain in force if the recipient person, institution or organisation uses these goods for the purpose which entitles it to enjoy the said benefit. Otherwise, the use of the goods provided for by paragraph 9 of this Article as an object of security, their lease, lending to another person or transfer in any form for consideration or free of charge gives rise to the obligation to pay in advance the corresponding import tax on these goods at the rate in force at the moment of the use of the said goods as an object of security, lease, lending to another person or transfer in any form for consideration or free of charge, based on the type of goods and the customs value determined by the customs authority for the same moment. If it is impossible to determine the moment of the use of the goods provided for by paragraph 9 of this Article as an object of security, lease, lending to another person or transfer in any form for consideration or free of charge, the rate in force on the day of declaration of the said goods shall be applied when calculating the import tax due.

12. An institution or organisation provided for by paragraphs 1 and 3 of this Article which ceases to fulfil a condition necessary for enjoying the benefit or which intends to use the goods imported under the benefit for a purpose different from that provided for by paragraphs 1 and 3 of this Article shall be obliged to notify the customs authority thereof.

13. Goods remaining in the possession of an institution or organisation which ceases to fulfil a condition necessary for enjoying the benefit shall be subject to taxation at the import tax rate in force at the moment of cessation of fulfilment of the said condition, based on the type of goods and the customs value determined by the customs authority for the same moment.

14. Goods used by an institution or organisation enjoying the benefit for a purpose different from that provided for by paragraphs 1–4 of this Article shall be subject to taxation at the import tax rate in force at the moment of commencement of the use of the goods for another purpose, based on the type of goods and the customs value determined by the customs authority for the same moment.

Article 199. Importation of goods to assist a person affected by a catastrophe or natural disaster🔗

1. In accordance with this Article, goods imported by a state body or a charitable organization shall be exempt from import tax, where such goods are intended for:

a) transfer free of charge to a person affected by a catastrophe or natural disaster;

b) transfer free of charge for temporary use to a person affected by a catastrophe or natural disaster, if during the period of use the goods remain in the ownership of the state or the charitable organization.

2. The benefit provided by paragraph 1 of this Article shall apply, in accordance with the conditions provided by the same paragraph, to goods imported for release into free circulation by the service ensuring the provision of assistance during a catastrophe or natural disaster, which are necessary for the implementation of its own measures.

3. The benefit provided by this Article shall not apply to materials and/or equipment intended for the restoration of a territory affected by a catastrophe or natural disaster.

4. The benefit provided by paragraphs 1 and 2 of this Article shall apply to the goods provided by this Article in accordance with the procedure and conditions established by the Government of Georgia.

5. The benefit provided by this Article shall apply to a charitable organization that carries out charitable activity in accordance with the legislation of Georgia.

6. It shall be inadmissible for an organization enjoying the benefit, without prior notification to the customs body, to use the goods provided by paragraph 1 of this Article as an object of security under conditions different from those provided by this Article, to lease them, to lend them to another person, or to transfer them in any form for consideration or free of charge.

7. If the goods provided by paragraph 1 of this Article are used as an object of security, leased, lent, or transferred in any form for consideration or free of charge to an organization enjoying the benefit provided by this Article, this benefit shall remain in force if the receiving organization uses these goods for the purpose that gives the right to enjoy the said benefit. Otherwise, the use of the goods provided by paragraph 1 of this Article as an object of security, leasing, lending to another person, or transfer in any form for consideration or free of charge shall be carried out after payment of the corresponding import tax on these goods at the rate in force at the moment of the use of the said goods as an object of security, leasing, lending to another person, or transfer in any form for consideration or free of charge, based on the type of goods and the customs value determined by the customs body for the same moment. If it is impossible to determine the moment of the use of the goods provided by paragraph 1 of this Article as an object of security, leasing, lending to another person, or transfer in any form for consideration or free of charge, the rate in force on the day of declaration of the said goods shall be applied when calculating the import tax due.

8. Without prior notification to the customs authority, it shall be inadmissible to use as an object of provision, to lease, to lend to another person, or to transfer in any form, for consideration or free of charge, the goods provided for by subparagraph „b“ of paragraph 1 of this article, which a person affected as a result of a catastrophe or natural disaster no longer uses.

9. If the goods provided for by paragraph 8 of this article are used as an object of provision, leased, lent or transferred in any form, for consideration or free of charge, to an organization enjoying the benefit provided for by this article or, where necessary, to an organization enjoying the benefit provided for by subparagraph „a“ of paragraph 1 of Article 197 of this Code, this benefit shall remain in force if the recipient organization uses these goods for the purpose which confers the right to enjoy the said benefit. Otherwise, the use as an object of provision, the lease, the lending to another person or the transfer in any form, for consideration or free of charge, of the goods provided for by paragraph 8 of this article shall be effected after payment of the corresponding import tax on these goods at the rate in force at the moment of the use as an object of provision, lease, lending to another person or transfer in any form, for consideration or free of charge, of the said goods, based on the type of the goods and the customs value determined by the customs authority for the same moment. If it is impossible to determine the moment of the use as an object of provision, lease, lending to another person or transfer in any form, for consideration or free of charge, of the goods provided for by paragraph 8 of this article, when calculating the import tax due, the rate in force on the day of declaration of the said goods shall apply.

10. A charitable organization or service provided for by paragraphs 1 and 2 of this article which ceases to fulfil a condition necessary for enjoying the benefit, or which intends to use the goods imported under the benefit for a purpose different from that provided for by paragraphs 1 and 2 of this article, shall be obliged to notify the customs authority thereof.

11. If the goods remaining in the possession of an organization or service which ceases to fulfil a condition necessary for enjoying the benefit are transferred to an organization enjoying the benefit provided for by paragraph 1 of this article or, where necessary, to an organization enjoying the benefit provided for by subparagraph „a“ of paragraph 1 of Article 197 of this Code, this benefit shall remain in force if the recipient organization uses these goods for the purpose which confers the right to enjoy the said benefit.

12. Goods used by an organization or service enjoying the benefit for a purpose different from that provided for by this article shall be subject to taxation at the import tax rate in force at the moment of commencement of the use of the goods for another purpose, based on the type of the goods and the customs value determined by the customs authority for the same moment.

Article 200. Importation of an order or award🔗

If the relevant person submits to the customs authority appropriate evidence that the goods are not imported for entrepreneurial purposes, the following shall be exempt from import tax:

a) an order conferred by a foreign country's government on a person permanently residing in the customs territory of Georgia;

b) a cup, medal or similar item of symbolic significance conferred abroad as an award on a person permanently residing in the customs territory of Georgia for activity carried out in the field of art, science or sport or in public service, or as a token of recognition of a specific merit, and which was imported into the customs territory of Georgia by that person himself;

c) a cup, medal or similar item of symbolic significance gratuitously conferred by a foreign state or by a person established in a foreign country on a person permanently residing in the customs territory of Georgia on account of the circumstances provided for by subparagraph „b“ of this Article in the customs territory of Georgia;

d) an award, prize or souvenir of symbolic significance and small value intended to be gratuitously transferred to a person permanently residing in a foreign country within the framework of a conference or analogous international event, if its retail value and other characteristics do not indicate its importation for entrepreneurial purposes.

Article 201. Importation of a gift received within the framework of international relations🔗

1. Subject to this Article and, as the case may be, Article 190 of this Code, goods shall be exempt from import tax if:

a) they were imported into the customs territory of Georgia by the person who received these goods in a foreign country within the framework of an official visit as a gift from a state institution of the host country;

b) they were imported into the customs territory of Georgia by the person who enters the customs territory of Georgia within the framework of an official visit and imports these goods for transfer as a gift to a state institution of Georgia;

c) as a token of friendship and good will, they have been sent as a gift by an official body, public institution or group exercising public interests of a foreign country and are intended for an official body, public institution or group exercising public interests existing in the customs territory of Georgia.

2. The benefit provided for by this Article shall not apply to alcoholic beverages, tobacco and tobacco products.

3. The benefit provided for by this Article shall apply if all of the following conditions are fulfilled:

a) the importation of the goods intended as a gift is effected non-systematically;

b) the goods intended as a gift are not, by their characteristics, value or quantity, intended for economic activity;

c) the goods intended as a gift are not used for entrepreneurial purposes.

Article 202. Importation of goods intended for use or consumption by the Head of State🔗

1. Under the conditions established by the Government of Georgia and within the established amount, the following shall be exempt from import tax:

a) importation of a gift intended for the reigning monarch or head of state of a foreign country;

b) importation of goods intended for use or consumption during an official visit to the customs territory of Georgia by the reigning monarch or head of state of a foreign country or by an official nominated by him. This benefit applies taking into account the principle of reciprocity.

2. The benefit provided for by this Article shall also extend to a person who enjoys at the international level the prerogative of a reigning monarch or head of state of a foreign country.

Article 203. Import for the Purpose of Promoting Trade in Goods🔗

1. Subject to subparagraph „a“ of paragraph 7 of this Article, the importation of a sample of goods of insignificant value shall be exempt from import tax, which may be used only to encourage the importation into the customs territory of Georgia of the goods for the display of which it has been imported.

2. To benefit from the relief provided for by this Article, the customs authority may require that the sample of goods be ensured to be in a permanently unusable condition by cutting into pieces, perforation, visible and indelible marking or other means, if the said action does not result in the destruction of the demonstration characteristics of the sample of goods.

3. For the purposes of paragraph 1 of this Article, a “sample of goods” is any item that is a unit of goods of the same quality and characteristics and whose method and quantity of demonstration exclude its use for any purpose other than receiving orders.

4. Subject to paragraph 5 of this Article, printed advertising material to be imported, such as a catalogue, price list, instructions for use, brochure, shall be exempt from import tax, if this material is related to:

a) goods for sale or for rent;

b) transport, insurance or banking services offered by a person established outside the customs territory of Georgia.

5. The relief provided for by paragraph 4 of this Article shall apply to printed advertising material that meets the following conditions:

a) the name of the company that produces, sells or rents the goods or offers the services advertised by this material is visibly displayed on the printed advertising material;

b) when several documents are sent, the consignment contains 1 document or 1 copy of the document. A consignment containing several copies of a document may not be exempt from import tax if the total weight of the consignment exceeds 1 kilogram;

c) the printed advertising material has not been sent by the same sender to the same recipient in several consignments.

6. Also exempt from import tax is an item for advertising purposes sent free of charge by a supplier to its customer, which has no real commercial value and which, apart from its advertising purpose, cannot be used for any other purpose.

7. Subject to paragraphs 10–13 of this Article, the importation of the following goods shall be exempt from import tax:

a) a small-sized demonstration sample of goods produced outside the customs territory of Georgia, intended for use or consumption at an exhibition-sale or a similar event;

b) goods imported solely for display purposes or for the demonstration of machinery or equipment produced outside the customs territory of Georgia, which are presented within the framework of an exhibition-sale or a similar event;

c) various low-value materials (paint, varnish and others) used at an exhibition-sale or similar event for the construction, assembly or decoration of a temporary stand which, after use, is subject to destruction;

d) printed materials, catalogue, advertising prospectus, price list, advertising poster, calendar, photograph (without frame) or other goods supplied free of charge which advertise goods produced outside the customs territory of Georgia, presented within the framework of an exhibition-sale or similar event.

8. For the purposes of paragraph 7 of this Article, an "exhibition-sale or similar event" is:

a) an exhibition, fair, display or similar event related to trade, production, agriculture or handicraft;

b) an exhibition or other event held mainly for charitable purposes;

c) an exhibition or similar event related mainly to science, art, education, culture, sport, religion, divine service, technology, handicraft, tourism or trade union activity, or held for the purpose of promoting international understanding;

d) a meeting of a representation of an international organisation or other association;

e) an official or commemorative ceremony or gathering.

9. The "exhibition-sale or similar event" provided for by paragraph 8 of this Article does not include an exhibition held for private purposes for the sale of foreign goods on a trading floor or in a building or structure.

10. The benefit provided for by subparagraph "a" of paragraph 7 of this Article applies only to a sample which:

a) was imported free of charge or received from a wholesale consignment imported from a foreign country to the exhibition;

b) was offered and distributed free of charge to a person attending the exhibition for his/her use or consumption;

c) is of advertising purpose and of low value;

d) is not easily marketable and, where necessary, is packaged in such a way that the quantity of goods in it is less than in the smallest package of similar goods for sale on the market;

e) is a food product or beverage which is not packaged in the manner provided for by subparagraph "d" of this paragraph and is intended for consumption at the exhibition;

f) in total value and quantity corresponds to the nature of the exhibition, the number of visitors and the scale of participation of the exhibitor.

11. The benefit provided for by subparagraph "b" of paragraph 7 of this Article shall apply if the following conditions are fulfilled:

a) the goods are consumed and destroyed at the exhibition;

b) the goods in total value and quantity correspond to the nature of the exhibition, the number of visitors and the scale of participation of the exhibitor.

12. The benefit provided for by subparagraph "d" of paragraph 7 of this Article applies to printed materials or items intended for advertising goods which:

a) were distributed free of charge to persons attending the exhibition;

b) corresponds, in total value and quantity, to the nature of the exhibition, the number of visitors and the scale of the participant's (exhibitor's) participation.

13. The relief provided for by subparagraphs „a“ and „b“ of paragraph 7 of this Article shall not apply to:

a) alcoholic beverages;

b) tobacco and tobacco products;

c) fuel in solid, liquid or gaseous state.

Article 204. Importation of goods for the purpose of conducting test, analysis or testing🔗

1. Subject to this Article, import duty shall be exempted for the importation of goods which are subject to examination, analysis or testing in order to determine their composition, quality or other technical characteristics, if the said operation is carried out for the purpose of obtaining information or industrial or commercial research.

2. Subject to paragraph 5 of this Article, in accordance with paragraph 1 of this Article, import duty shall be exempted for the importation of goods subject to test, analysis or testing, if they are fully used or destroyed in the process of test, analysis or testing.

3. The relief provided for by this Article shall not apply to goods the process of test, analysis or testing of which includes operations to promote the sale of these goods.

4. The relief provided for by this Article shall apply to the quantity of goods necessary for the purpose of their importation.

5. The relief provided for by paragraph 1 of this Article shall apply to goods which are not fully used or destroyed in the process of test, analysis or testing, if the product remaining after completion of the test, analysis or testing:

a) is fully destroyed or loses commercial value after completion of the test, analysis or testing;

b) is transferred into state ownership in accordance with the customs legislation of Georgia;

c) is taken out of the customs territory of Georgia due to special circumstances.

6. For the purpose of paragraph 5 of this Article, "remaining product" is the product or goods obtained as a result of test, analysis or testing which were not actually used in the process of test, analysis or testing.

7. Unless otherwise provided for by paragraph 5 of this Article, the product remaining after completion of the test, analysis or testing shall be subject to taxation at the import duty rate in force at the moment of completion of the test, analysis or testing, based on the type of goods and the customs value determined by the customs authority for the same moment. The interested party may convert the product remaining after completion of the test, analysis or testing into waste and/or scrap. In this case, taxation shall be effected at the import duty rate in force at the moment of its conversion into waste and/or scrap.

8. The competent authority shall determine the time limit within which the test, analysis or testing must be conducted, as well as the administrative formalities to be carried out to ensure the use of the goods for the predetermined purpose.

Article 205. Importation of a consignment of goods sent to an organization protecting copyright or industrial and trade patents🔗

Goods exempt from import tax are a trademark, specimen, design project or its accompanying document, as well as an application for the grant of an invention patent or a similar document, which is submitted to a Legal Entity of Public Law − the National Intellectual Property Center − “Sakpatenti”.

Article 206. Importation of reference literature on tourism🔗

Subject to paragraphs 1–13 of Article 191 of this Code, the importation of the following reference literature shall be exempt from import tax:

a) A document intended for free distribution (advertising leaflet, brochure, book, magazine, guidebook, poster (with or without a frame), photograph (without a frame), enlarged photograph, map (illustrated or without illustration), transparent poster for sticking on glass, illustrated calendar), the main purpose of which is to encourage a person's visit to a foreign country, in particular, his/her attendance at a cultural, tourist, sports, religious, trade or professional meeting or other event, if the advertising nature of this document (literature) is evident and not more than 25% thereof (excluding private commercial advertising of a Georgian enterprise/entrepreneur) is private commercial advertising material;

b) A list of foreign hotels, an annual reference book, a timetable of movement of vehicles in a foreign country, published by an official tourist agency or under its auspices for free distribution, if not more than 25% thereof (of the literature) (excluding private commercial advertising of a Georgian enterprise/entrepreneur) is private commercial advertising material;

c) Reference material supplied to an agent appointed for a representation accredited by an official national tourist agency, which is not intended for distribution, in particular, an annual reference book, a list of telephone or telex numbers, a list of hotels, a catalogue of exhibition-sales, a sample of a handmade article of insignificant value, literature about museums, universities, health resorts and similar institutions.

Article 207. Importation of Various Documents and Things🔗

The importation of the following documents and things shall be exempt from import tax:

a) a document sent free of charge to a public institution;

b) a publication of a foreign government or an official international body intended for free distribution;

c) a ballot intended for elections, the importation of which is organized by an institution/organization of a foreign country;

d) a thing to be submitted to a court or another state institution as evidence or for a similar purpose;

e) a specimen signature or a printed circular relating to signatures sent within the framework of information exchange between state or banking institutions;

f) official printed material sent to the National Bank of Georgia;

g) a report, statement, note, prospectus, application form or other document prepared by the same company and sent to the holder or subscriber of a security issued by a company registered in a foreign country;

h) an information carrier (punched card, sound recording, microfilm and others) to be used for transmitting information sent free of charge to the addressee, if this exemption is not abused or the competition rules are not violated by this exemption;

i) a file, archive, printed form or similar document intended for use at an international meeting, conference or congress, a report prepared on the said meeting;

j) a plan, technical drawing, scheme, description or similar document imported for receiving or fulfilling an order in a foreign country or for participating in a competition held in the customs territory of Georgia;

k) a document to be used in an examination held in the customs territory of Georgia by an institution established in a foreign country;

l) a printed form to be used as an official document during the international movement of a means of transport or goods within the framework of an international convention;

m) a printed form, label, ticket or similar document sent by a transport company of a foreign country or a person carrying out hotel activity to a tourist agency established in the customs territory of Georgia;

n) a used printed form or ticket, bill of lading, waybill or other commercial document or a document intended for the office;

o) an official printed form of a foreign country or an international organization; printed material complying with international standards sent by an association of a foreign country for distribution to the corresponding association located in the customs territory of Georgia;

p) a photograph, slide or standard passe-partout for a photograph (with or without an inscription) sent to a news agency or to the publishing house of a newspaper or magazine;

q) a tax or similar stamp confirming the fact of payment of a duty payable in a foreign country.

Article 208. Importation of auxiliary materials to be used for packaging or protecting goods during their transportation🔗

The importation of various types of materials (including rope, hay, cloth, paper, cardboard, wood, plastic) that are used on a one-time basis for packaging or protecting goods (including for thermal protection of goods) during their transportation from a foreign country to the customs territory of Georgia shall be exempt from import tax.

Article 209. Importation of bedding, forage or other types of animal feed used during the transportation of an animal🔗

The importation of any type of bedding, forage or other types of animal feed that is placed on board the vehicle transporting the animal from a foreign country to the customs territory of Georgia and that is used only during the transportation of the animal shall be exempt from import tax.

Article 210. Importation of fuel contained in the tank of a land transport vehicle or a special container and of lubricant contained in a transport vehicle🔗

1. Subject to paragraphs 2–7 of this Article, the importation of the following goods shall be exempt from import tax:

a) fuel which is placed in:

a.a) the standard tank of a private transport vehicle or an entrepreneurial transport vehicle (including a motorcycle);

a.b) the standard tank of a special container;

b) fuel placed in a portable tank, which is imported by a private transport vehicle (including a motorcycle), — not more than 10 litres of fuel per each transport vehicle, subject to the rules established by the legislation of Georgia for the storage and transportation of fuel.

2. For the purpose of paragraph 1 of this Article:

a) "entrepreneurial transport vehicle" is:

a.a) any motorised road transport vehicle (including a tractor with or without a trailer) which is designed, given its type of construction and equipment, to carry more than 9 persons (including the driver) with or without remuneration, or to transport goods;

a.b) any special-purpose road transport vehicle other than that provided for by subparagraph "a.a" of this paragraph;

b) "private transport vehicle" is a motorised transport vehicle, except for the transport vehicle provided for by subparagraph "a" of this paragraph;

c) "standard tank" is:

c.a) a tank which is installed by the manufacturer on all transport vehicles of the given type and which makes it possible to supply fuel continuously both for generating motive power and, where necessary during transportation, for the operation of a refrigeration or similar system;

c.b) a gas tank installed on a transport vehicle which makes it possible for the gas contained therein to be used as fuel, or a tank installed on the system of the transport vehicle with which that transport vehicle is equipped;

c.c) a tank which is installed by the manufacturer on all containers of the given type and which makes it possible, during transportation, to supply fuel continuously for the operation of the refrigeration or similar system with which the special container is equipped;

d) "special container" is a container on which special equipment intended for a refrigeration, oxygen, thermal insulation or other system is installed.

3. The Minister of Finance of Georgia shall have the right to restrict the application of the benefit provided for by this Article to fuel contained in the standard tank of an entrepreneurial transport vehicle or in a special container — in the amount of 200 litres per transport vehicle, special container or trip.

4. The amount of fuel exempted from customs obligation in accordance with this Article may be reduced by order of the Minister of Finance of Georgia:

a) in the case of a commercial vehicle by which a person residing in the country's border zone carries out international carriage to a depth of not more than 25 kilometres in the border zone;

b) in the case of a private vehicle belonging to a person residing in the country's border zone;

c) in the case of a vehicle entering from a specific customs checkpoint.

5. For the purposes of subparagraph „b“ of paragraph 4 of this Article, the "border zone" is a zone located at a depth of not more than 15 kilometres from the country's border, unless otherwise provided by the relevant international convention.

6. It is not permitted to use fuel imported with a benefit in accordance with paragraphs 1 to 5 of this Article for another vehicle, except for the vehicle by which it was imported, as well as to remove such fuel from the said vehicle and to store it, except in the case of carrying out repair works necessary for the vehicle. It is also prohibited for a person enjoying the benefit to transfer the fuel to another person for consideration or free of charge.

7. In the event of failure to comply with the requirements established by paragraph 6 of this Article, fuel imported with a benefit in accordance with paragraphs 1 to 5 of this Article shall be subject to taxation at the import tax rate in force at the moment of the said failure to comply with the requirements, depending on the type of goods and on the customs value determined by the customs authority for the same moment.

8. The benefit provided for by paragraph 1 of this Article shall also apply to lubricants present in the vehicle which are necessary for its normal operation during the given transportation period.

Article 211. Import of goods to be used for the construction, maintenance, repair or decoration of a memorial, cemetery or grave of war victims of a foreign country🔗

Import into the customs territory of Georgia of goods to be used for the construction, maintenance, repair or decoration of a memorial, cemetery or grave of war victims of a foreign country buried in the customs territory of Georgia shall be exempt from import tax.

Article 212. Import of a means for transporting a deceased person or their ashes and of funeral decorative items🔗

The import of the following goods shall be exempt from import tax:

a) a coffin or another special means corresponding to religious tradition, which is used for transporting a deceased person, a special urn containing the ashes of a deceased person, flowers, a funeral wreath or another decorative item which usually accompanies them;

b) flowers, a funeral wreath or another decorative item brought in by a person residing in a foreign country who attends a funeral or goes to decorate a grave in the customs territory of Georgia, if the characteristics or quantity of these goods do not indicate their import for entrepreneurial purposes.

Article 213. Transitional Provisions🔗

1. In Georgia, the outward processing and inward processing procedures shall not apply to light, medium and heavy petroleum distillates, except for the inward processing procedure, which is carried out subject to the mixing (compounding) of goods and the exportation of the processed product from the customs territory of Georgia.

2. In respect of used petroleum products (oily water (water contaminated with oil) and/or tank washings of petroleum product storage tanks), the outward processing and inward processing procedures shall not apply, except for the inward processing procedure, which is carried out subject to the exportation of the processed product from the customs territory of Georgia.

3. Issued before the entry into force of this Code in accordance with the legislation of Georgia:

a) a permit certificate retains legal force and the provisions of this Code shall apply to it;

b) the permit holder shall, no later than 3 months from the day of entry into force of this Code, ensure implementation of the provisions of this Code.

4. The provisions of this Code shall apply to customs procedures declared from the day of entry into force of this Code.

5. The provisions of the Tax Code of Georgia in force before the entry into force of this Code and subordinate normative acts issued in accordance therewith shall apply to commodity operations declared before the entry into force of this Code.

6. Until January 1, 2028, in a free trade point that is not located at a border-customs checkpoint or in the territory of an airport open for international traffic, for official use of diplomatic representations of foreign countries and representations equated with them, for personal use of members of these representations and diplomatic missions (including family members living with them), foreign goods may be sold to them at retail without application of tariff and non-tariff measures and/or Georgian goods.

7. By inclusion in the gold list, a person is granted the right, until January 1, 2028, when importing goods belonging to him into the customs territory of Georgia and/or exporting them from the customs territory of Georgia, to benefit from simplified customs formalities.

8. The assignment of an assessment number to the relevant customs declaration by the customs authority shall be considered as issuance to the interested person of the authorization provided for by Article 111 of this Code.

9. Until January 1, 2028, submission of the general declaration for importation of goods provided for by Article 66 of this Code shall be deemed to be the submission, in the case of importation of goods into the customs territory of Georgia, by the declarant or his representative at the customs checkpoint to the customs authority of documents determined by the customs legislation of Georgia.

10. Until January 1, 2028, submission to the customs authority of the general declaration for exportation of goods provided for by Article 155 of this Code shall not be required.

11. By September 1, 2019, the Government of Georgia, the Minister of Finance of Georgia and the Minister of Internal Affairs of Georgia shall ensure the adoption/issuance of the subordinate normative acts provided for by this Code.

Law of Georgia of 30 September 2020 No. 7203 – website, 05.10.2020.

Law of Georgia of 17 December 2021 No. 1164 – website, 28.12.2021.

Law of Georgia of 16 December 2022 No. 2440 – website, 27.12.2022.

Law of Georgia of 12 November 2025 No. 1062 – website, 14.11.2025.

Law of Georgia of 17 December 2025 No. 1233 – website, 19.12.2025.

Article 214. Final provisions🔗

1. This Code, except Book X of this Code, shall enter into force from 1 September 2019.

2. Book X of this Code shall enter into force from 1 September 2020.

3. The operation of Book X of this Code shall be suspended until 1 January 2028.

Law of Georgia of 30 September 2020 No. 7203 – website, 05.10.2020.

Law of Georgia of 17 December 2021 No. 1164 – website, 28.12.2021.

Law of Georgia of 16 December 2022 No. 2440 – website, 27.12.2022.

Law of Georgia of 12 November 2025 No. 1062 – website, 14.11.2025.

President of Georgia Salome Zourabichvili

Tbilisi,

28 June 2019

No. 4905-IIs